YES Bank to consider Citax’s 500-mn dollar offer

The $1.2 billion binding offer of Erwin Singh Braich/SPGP Holdings continues to be under the board’s consideration, the bank said in a filing to stock exchanges. The board of Yes Bank met on Tuesday to consider the proposals. The board decided that the final decision regarding allotment to Citax Holdings and Citax Investment Group will follow in the next board meeting, subject to requisite regulatory approval, the filing said.

“The binding offer of $1.2 billion submitted by Erwin Singh Braich/SPGP Holdings continues to be under discussion,” it said.

Yes Bank further said it will continue to evaluate other potential investors to raise capital up to $2 billion.

In late November, the lender had given the list of potential investors, including the two named above, who were willing to put money in the bank. Constraints on capital had forced the private sector bank to shrink its book in the September quarter. The bank has been going through a tumult for the last one year since the RBI forced the exit of its promoter and CEO Rana Kapoor in August 2018.

His successor Ravneet Gill was forced to make the capital raise top priority because of doubtful bets taken by the bank under Kapoor.