Yes Bank Board Approves Fundraising of Up to ₹16,000 Crore

Yes Bank’s Board of Directors approved 2 significant capital-raising plans. The first includes issuing eligible equity securities worth up to ₹7,500 crore through various permissible routes. This move will ensure that total shareholding dilution remains within 10%, including any potential impact from convertible debt instruments. 

The second initiative allows for the issuance of debt securities, either in Indian or foreign currency, up to ₹8,500 crore, also maintaining the same 10% dilution cap. Both measures are subject to necessary shareholder and regulatory approvals and are aimed at strengthening the bank's financial flexibility and growth capacity.

Amendments to Strengthen Governance Framework

The Board also gave its nod to amend the Articles of Association following the share purchase agreement signed on  May 9, 2025 with Sumitomo Mitsui Banking Corporation (SMBC) and State Bank of India (SBI).

The revised provisions grant SMBC the right to nominate 2 Non-Executive, Non-Independent Directors and SBI the right to nominate 1 such Director to the Bank’s Board. 

These nominations are conditional upon respective shareholding thresholds and relevant fit-and-proper checks. Additionally, it has been mandated that no Board meeting can be convened on short notice without written consent from at least one SMBC nominee and the SBI nominee, thereby reinforcing transparency and collaborative decision-making at the Board level.

Strategic Direction and Strengthened Investor Alignment

Yes Bank, a prominent private sector bank known for its focus on retail and corporate banking, has aligned its governance and capital structure to support long-term strategic objectives. 

The recent decisions by the Board reflect a proactive approach to securing growth capital while ensuring that institutional investors such as SMBC and SBI remain integrated into the bank’s decision-making framework. With these developments, the bank aims to fortify its financial base and enhance stakeholder confidence as it continues its journey of transformation and expansion.

Read More: Block Deal Alert: Yes Bank Share Price Falls 10% Ahead of Key Board Meet.

Yes Bank Share Price Performance 

As of June 04, 2025, at 10:38 AM, Yes bank share price is trading at ₹21.01 per share, reflecting a surge of 0.72% from the previous day's closing price. Over the past month, the stock has surged by 18.50%. The stock's 52-week high stands at ₹27.44 per share, while its low is ₹16.02 per share.

Conclusion 

Yes Bank's recent decisions mark a strategic shift towards strengthening its capital base and governance structure, aligning with long-term institutional partnerships and future growth objectives.

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