Yes Bank to consider Citax’s $500 million offer

Says it is also open to other investors

Yes Bank said it may consider $500 million investment offer from the Citax Group.

“The board is willing to favourably consider the offer of $500 million of Citax Holdings and Citax Investment Group and the final decision regarding allotment to follow in the next board meeting,” the bank said. It said the binding offer of $1.2 billion of Erwin Singh Braich/SPGP Holdings continues to be under discussion.

“The bank shall continue to evaluate other potential investors to raise capital up to $2 billion,” it added. Last week, Moody’s Investors Service downgraded the bank’s debt instruments and said its funding and liquidity compared weakly to other rated private sector peers in India. The common equity tier 1 ratio of 8.7% at the end of September 2019 will come under significant pressure, unless the bank can raise new capital in the next few quarters, it said.