Chairman Sunil Mehta said that Yes Bank is not going to merge with SBI. Neither the bank nor the authority has discussed any such matters.
Yes Bank has returned 50 thousand crores of RBI. Only seven of its banks have made it clear that it will not merge with SBI, its largest shareholder. Yes Bank had taken these money from RBI under the Special Liquidity Facility (SLF).
Yes Bank said, glad that money was returned before time
Yes Bank chairman Sunil Mehta said that the entire money of the RBI was repaid ahead of time. Mehta said that he is happy to announce that all the money taken under SLF has been repaid ahead of time. Yes Bank had taken money from RBI at a time when it felt that depositors could withdraw their money fast. Meanwhile, Yes Bank had raised Rs 15,000 crore from investors through FPO.
‘Prohibition on sale of shares in the interest of shareholders’
Chairman Sunil Mehta said that Yes Bank is not going to merge with SBI. Neither the bank nor the authority has discussed any such matters. Some investors also expressed concern that there was a three-year ban on selling more than 25 per cent of the shares after the bank’s restructuring. On this, the bank’s MD and CEO Prashant Kumar said that it is in favor of the share holders to hold a hold on the sale of shares for three years. Prashant Kumar said that the bank has managed to reduce its expenditure by 20 percent in the first quarter. Along with this, a consultant has also been appointed to look after the functioning of the bank.
In March this year, the government and RBI changed the entire board of Yes Bank. With this, the depositors were stopped from withdrawing money from the bank for a few days. After this, a new management team was formed and all restrictions were lifted. After the ban was over, people started withdrawing money from the bank, while the deposit was not happening. In such a situation, the bank did not default on the payment, so the RBI had given Rs 50,000 crore fund under the special liquidity facility to Yes Bank.