Image Credits: Bloomberg.com
Yes Bank mentioned on Monday that it is planning to issue debt security in order to raise funds in Indian currency or foreign currency. To consider, approve and seek shareholders’ approval for borrowing and raising funds the board of directors will have a meeting on Thursday, the 10th of June, 2021.
The bank, which is a private sector lender reported a loss that was higher than they expected at ₹3,787.75 crores for the march 2021 quarter-end. This loss was higher than the one reported at the quarter end of march 2020 which stood at ₹3,668.33 crores. Other than the losses, even the net interest income decreased drastically by 22.5 percent during the quarter which is being reviewed at ₹986.7 crores as compared to ₹1,273.70 crores during the same quarter in the last year.
A statement released by the bank said it has plans of raising funds in “Indian/foreign currency by issue of debt securities including but not limited to non-convertible debentures, bonds, medium-term note.” Yes Bank share prices during the day increased by almost 8 percent on June 7th after the information regarding the fundraising via debt statement was released. In addition to that Yes Bank stock was traded at ₹14.52 which is 5.75 percent higher on the Bombay Stock Exchange.