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Yes Bank lists dollar bond on London Stock Exchange

 The listing on London Stock Exchange would provide global investors an opportunity to invest in India’s banking sector.

The listing on London Stock Exchange would provide global investors an opportunity to invest in India’s banking sector.

Yes Bank on Wednesday listed its first dollar-denominated bond on the London Stock Exchange, raising 600 million dollars.

The five-year dated bond listed on the exchange’s International Securities Market (ISM) received strong international investor interest, with 58 % allocated in Asia, 41 % in Europe, Middle East and Africa (EMEA) and 1 % in offshore US.

“The final order book was more than 1.8 times oversubscribed, from 90 accounts pricing at a spread of 130 basis points over 5-year US Treasury yield,” the exchange said.

“This landmark issue is the first foreign currency bond offering by Yes Bank under our newly-established MTN (Medium Term Note) programme, and its significant over-subscription as well as high quality investor base is testament to the commitment of global investors in the bank,” said Rana Kapoor, MD & CEO and Chairman, YES Global Institute, Yes Bank.

“I am sure this will further strengthen India’s position as the preferred investment destination for global investors.

As the first Bank to have begun operations at GIFT, we remain committed to expanding our operations at the IBU, Gandhinagar,” he said.

The listing on London Stock Exchange would provide global investors an opportunity to invest in India’s banking sector as well as participate in the country’s growth story, Kapoor said.

Yes Bank’s bond issuance comes shortly after Export- Import (EXIM) Bank of India’s 1-billion-dollar bond on London Stock Exchange’s ISM.

“Through our International Securities Market, Yes Bank is accessing a new international channel of finance and supporting the creation of a dynamic financial services hub in India,” said Darko Hajdukovic, Head of Analytics, Fixed Income and Funds, Primary Markets, London Stock Exchange Group.

Back in August 2016, Yes Bank had issued a green bond, raising ₹ 3.15 billion through a back-to-back transaction with International Finance Corporation (IFC).

London Stock Exchange said its ISM has been designed to meet the demands of issuers and investors to improve the effectiveness and competitiveness of the UK primary debt markets providing greater choice for a variety of fixed income issuers.


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Printable version | May 18, 2022 12:31:56 pm | https://www.thehindu.com/business/yes-bank-lists-dollar-bond-on-london-stock-exchange/article22680352.ece