Rana Kapoor led Yes Bank row with RBI: Blow by blow account
Rana Kapoor led Yes Bank Ltd, India's fifth largest private-sector lender by assets, has had a rough ride since the country`s central bank trimmed its chief executive officer`s (CEO) term in September.
The tiff with the Reserve Bank of India (RBI) has caused several top executives to exit Yes Bank`s board, and prompted rating cuts.
The move by the RBI, which has already clamped down on the financial sector due to rising levels of bad loans, has also hit Yes Bank`s share price hard.
The developments since Sept. 19 have knocked off about 345 billion rupees ($4.95 billion) from the company`s market value, as of Friday`s close.
Here`s a look at how the events panned out:
Sept 21: On the first day of trade after RBI`s announcement, Yes Bank shares tank over 30 percent, and the lender loses as much as $3.1 billion in market value.
Market insiders say RBI`s move exemplifies its increasingly assertive approach in tackling the bad debt problem plaguing India`s banking sector.
Image source: PTI
Oct 25: Yes Bank`s second-quarter profit misses estimates by a wide berth as provisions for bad loans and mark-to-market losses more than double, and asset quality deteriorates.
The lender also says it has an exposure to debt-laden Infrastructure Leasing and Financial Services.
Image source: Reuters