Business

Yes Bank to reclassify promoter group as public stakeholders

Madhu Kapur Group agrees to change in classification

Yes Bank on Saturday said there will be reclassification of shareholding as the Madhu Kapur Group has consented to be categorised as public stakeholders.

“This is to inform that the bank has received a letter dated May 28, 2020 from Madhu Ashok Kapur; Shagun Kapur Gogia; Gaurav Ashok Kapur and Mags Finvest Private Limited (collectively referred to as Madhu Kapur Group) consenting to reclassify their shareholding in the bank as ‘non-promoter shareholders’ (i.e. public shareholders),” Yes Bank said in a regulatory filing.

“The bank would take further necessary action to give effect to this,” it added.

Yes Bank was co-founded by Rana Kapoor along with Ms. Madhu Kapur’s late husband Ashok Kapur in 2004.

Following the ouster of Mr. Rana Kapoor, who is in police custody on alleged charges of corruption and financial mismanagement, among other charges, Yes Bank is now led by State Bank of India alongside many private lenders.

As on March 31, 2020, Ms. Madhu Kapur held 1.12% in Yes Bank, while Mags Finvest had 0.30%, according to data on the BSE.

Acquires Dish TV stake

Meanwhile, Yes Bank said it had acquired over 24% stake in Dish TV India following invocation of pledged shares due to debt default by the DTH service provider and other group firms.

Further, the bank said there was default/breach of terms of credit facilities sanctioned by it to Essel Business Excellence Services, Essel Corporate Resources, Living Entertainment Enterprises, Last Mile Online, Pan India Network Infravest, RPW Projects Private, Mumbai WTR and Pan India Infraprojects.

These companies are a part of the Subhash Chandra-led Essel Group.

Dish TV is a direct to home (DTH) entertainment service provider.

The company reported a consolidated total income of ₹6,218.28 crore as on March 31, 2019.

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Printable version | Jul 4, 2020 11:46:22 PM | https://www.thehindu.com/business/yes-bank-to-reclassify-promoter-group-as-public-stakeholders/article31712661.ece

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