InvestorQ : Can you tell me the details of the Yes Bank FPO announced on 10 July?
indhumathi Sayani made post

Can you tell me the details of the Yes Bank FPO announced on 10 July?

Answer
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3 months ago


YES Bank set the floor price of Rs.12 per share for its follow on public offer or FPO, which is expected to raise Rs.15,000 crore for the bank. The FPO opens on July 15 and will remain open till July 17. The cap price for the FPO has been fixed at Rs.13 per share.

Investment in the FPO can be made at 1000 shares and in multiples of 1000 shares thereof. SBI has committed to infuse Rs.1760 crore in the FPO. Employees of the bank will get a discount of Rs.1 per share on the issue price. The allocation to anchor investors will be completed on 14 July, a day prior to the opening of the FPO for public.

Yes Bank is majority held by SBI and a clutch of other banks, which infused capital into the bank during the crisis of March. The FPO is substantially below the current market price but that is understandable considering the massive equity dilution. Post the FPO, Yes Bank will have 2400 crore shares outstanding in its balance sheet.