Indian lender Yes Bank has approved proposals to raise up to 160 billion rupees ($1.87 billion) through equity and debt issuances, it said late on Tuesday.
It plans to raise up to 75 billion rupees in equities and 85 billion rupees by issuing debt in Indian or foreign currency, the bank said, with the overall equity dilution – including any future conversion of debt into shares – capped at 10%.
The private lender did not specify what it would use the funds for.
Last month, Japanese lender Sumitomo Mitsui Banking Corporation (SMBC) agreed to acquire a 20% stake in the Indian lender from eight existing shareholders, including the State Bank of India SBI.NS.
The Sumitomo deal, valued at 134.8 billion rupees ($1.58 billion), marked the largest cross-border merger and acquisition deal in India’s financial sector.
($1 = 85.6480 Indian rupees)
Reuters
