MUMBAI:
Rana Kapoor through his holding firm - Yes Capital - sold yet another 1.8% stake in
Yes Bank to redeem all outstanding bonds issued to various schemes of Franklin Templeton. Earlier, Kapoor's another company Morgan Credit had sold 2.3% stake to redeem debt.
Yes Bank shares tanked by 5% to Rs 51 after the block sale. The marketcap of the bank now stands at Rs 13,019 crore. In a statement, Yes Capital said that the proceeds of the sale would be used to prepay the entire balance of outstanding non-convertible debentures (NCDs) of Yes Capital subscribed to by various schemes of Franklin Templeton Asset Management.
Yes Capital had in September 2017 placed rated, zero-coupon NCDs amounting to Rs 630 crore with Franklin Templeton. These funds were utilised by Yes Capital towards growth capital for new-age startup ventures. The company claimed that the promoter group has brought down its ownership in Yes Bank to 13.4% in full compliance with RBI's regulatory levels of 15%.
The total promoter shareholding stood at 19.8% as of June 2019. This includes the 7.6% held by Madhu Kapur and 1.6% held through her investment company Mags Finvest.