Particle.news
Download on the App Store
8 ARTICLES
·
last mo.

CCI Clears SMBC’s Acquisition of Up to 24.99% in Yes Bank

The approval positions the Japanese lender to expand its existing 20% stake without being designated a promoter.

Image
Image
Image
Image

Overview

  • India’s competition regulator approved the acquisition of certain share capital and voting rights in Yes Bank by Sumitomo Mitsui Banking Corporation.
  • The Reserve Bank of India, via an August 22 letter valid for one year, permitted SMBC to hold up to 24.99% without promoter classification.
  • SMBC already owns 20% of Yes Bank after a May secondary purchase comprising 13.19% from SBI and 6.81% from seven domestic banks.
  • The May agreement valuing the stake at about $1.6 billion was followed by shareholder approval in August for a related fundraise.
  • Yes Bank shares rose about 2% to roughly Rs 20 on September 3 after the CCI nod, with SMBC set to remain the bank’s single-largest shareholder.