YES Bank share price skyrockets over 19% on Rana Kapoor stake sale reports to Paytm
As usual YES Bank share price has again hit the headlines. This time it's positive for all shareholders out there. The private lender's shares rallied over 15 percent on September 11 (Wednesday) trade on reports that co-founder Rana Kapoor may sell his stake to Vijay Shekhar Sharma led Paytm.
YES Bank share price: As usual YES Bank share price has again hit the headlines. This time it's positive for all shareholders out there. The private lender's shares rallied over 15 percent on September 11 (Wednesday) trade on reports that co-founder Rana Kapoor may sell his stake to Vijay Shekhar Sharma led Paytm, according to Zee Business sources. YES Bank share price closed on Monday at Rs 63.1, while today the day high was Rs 75.45 on NSE.
Kapoor is in talks with Vijay Shekhar Sharma, the founder, and CEO of the Noida-based mobile payments startup, Paytm and offered to sell his stake as well as that of his family members, the sources said. However, the numbers and the deal valuation is not yet specified, while at current valuations the shareholding of Kapoor and his family members is worth Rs 1,550 crore.
YES Bank has been witnessing a huge setback on the Dalal Street, losing value by over 60 per cent this year and around 80 percent in the last year.
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Kapoor and his family holds a 10.6 per cent stake in YES Bank. On August 30, Yes Bank's board had proposed to increase the bank's authorized share capital from Rs 800 crore to Rs 1,100 crore for enabling an expansion in the paid-up capital. The bank has also been reportedly talking to large private equity firms for capital infusion.
Notably, Rana Kapoor had to quit as the CEO and MD of YES Bank on the orders of the Reserve Bank of India (RBI), which cited 'serious lapses' in governance and 'poor compliance.
Meanwhile, in case, the deal takes place as per reports, the year will become an important mark in the banking industry, with Kapoor ending his career as a banker and Sharma turning one after a high profile career as an entrepreneur.
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