Yes Bank Limited | Latest market updates

Major Shakeup at YES Bank: 2.2% Stake Sold in Rs 1,602 Crore Block Deal

This post delves into the details of the recent block deal involving YES Bank, the bank’s recent financial performance, and potential implications for its future.

On May 3, 2024, a block deal involving 63.6 crore shares, representing approximately 2.2% of YES Bank’s equity, was executed on the exchanges at an average price of Rs 25 per share. This transaction resulted in a total deal value of Rs 1,602 crore. While the exact buyers and sellers remain undisclosed, media reports on May 2nd suggested that private equity giant Carlyle Group was planning to offload a significant portion of its stake in YES Bank via a block deal. Goldman Sachs was appointed as the banker to the transaction, according to the reports.

The news of the block deal initially caused YES Bank’s share price to dip by -4.4% at the opening tick on May 3rd. However, the stock witnessed a swift rebound during the session. This suggests that the market may have viewed the block deal as a positive development, potentially indicating increased liquidity for the stock.

Carlyle Group Reduces Stake in YES Bank

As per YES Bank’s latest shareholding data, Carlyle Group, through its investment arm CA Basque Investments, held an 8.74% stake in the bank post-warrant conversion on March 31, 2024. This block deal likely represents a portion of Carlyle’s stake sale, following a similar transaction in February 2024, where they offloaded a 1.35% stake for Rs 1,056 crore at an average price of Rs 27.10 per share. Notably, Carlyle Group initially acquired a 9.99% stake in YES Bank in 2022.

YES Bank Reports Improved Financial Performance

YES Bank reported a strong financial performance for the fourth quarter (Q4) of FY24. Net profit jumped 123% year-on-year to Rs 452 crore, exceeding analyst expectations. Profitability also improved sequentially, rising 95.2% from the previous quarter. The bank’s Net Interest Income remained steady at 2.4% compared to the previous quarter. However, income from other sources (non-interest income) witnessed a significant rise, with a 56.3% year-on-year increase. This growth was driven by a rise in fee-based income from various services offered by the bank.

An important measure of a bank’s profitability is Return on Assets (RoA), which improved to 0.5% in Q4FY24 from 0.2% in the previous quarter. This indicates that the bank is efficiently using its assets to generate profits.The bank’s asset quality also showed improvement, with a decline in the ratio of non-performing loans (gross NPA) to 1.7% and net NPA to 0.6%. This means that a lower proportion of loans issued by the bank are facing repayment issues. Overall, YES Bank’s financial results for Q4 FY24 paint a positive picture of the bank’s performance.

Analysis and Outlook

The recent block deal involving YES Bank highlights the evolving dynamics of the bank’s shareholding structure. While the identity of the buyer remains unknown, the deal’s execution and subsequent stock price recovery suggest continued investor interest in YES Bank. The bank’s improving financial performance, with rising net profits, healthy interest income growth, and declining NPA ratios, further strengthens this positive outlook. However, it is important to note that the long-term impact of the block deal and Carlyle Group’s stake reduction on YES Bank’s future performance will depend on various factors, including the bank’s ability to sustain its financial growth trajectory and attract new investors.


YES Bank’s recent block deal, where a 2.2% stake was sold for Rs 1,602 crore, signifies a shift in its shareholding structure. While the buyer’s identity remains undisclosed, the deal’s execution and subsequent stock price recovery indicate continued investor confidence in the bank. This optimism is further bolstered by YES Bank’s strong financial performance in Q4 FY24, marked by a surge in net profits, healthy income growth, and improving asset quality. Overall, YES Bank appears to be on a positive track, but its long-term success hinges on its ability to capitalize on these developments and navigate the evolving market dynamics.

Disclaimer: This post has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. The information is based on various secondary sources on the internet and is subject to change. Please consult with a financial expert before making investment decisions.

YES Bank Intimidates Fundraising Plans in Next AGM

Private lender, YES Bank Limited is in focus after the company intimidated plans to raise funds in the upcoming Annual General Meeting on 25 June 2024.

YES Bank is the 5th largest private sector bank in India, headquartered in Mumbai, catering to retail customers, MSMEs, and corporate clients. Its network is spread across 300 districts of India and comprises 1,198 branches. Among the bank’s major shareholders are the State Bank of India, the country’s largest scheduled commercial bank; and two global investors viz affiliate of Carlyle and Advent International, among others. YES BANK has an ESG Score of 74 (on 100) on the S&P Global Corporate Sustainability Assessment (CSA), one of the highest in the Indian banking industry.

Recent News:

The private sector lender YES Bank Ltd. announced that its Board of Directors will meet on June 25, 2024, in Mumbai to consider and approve a resolution enabling the bank to borrow or raise funds through the issuance of debt securities. The proposed fundraising options included issuing debt securities in Indian and foreign currencies. It could include non-convertible debentures, bonds, and Medium Term Notes (MTNs). In the forthcoming Annual General Meeting, the bank intends to include a special resolution in alignment with the provisions of the Companies Act, 2013 and the associated rules.

Company’s Financials

YES Bank reported a net profit of Rs.454 Crore, 124.3% YoY more than Rs. 202.4 Crore. The bank’s Net Interest Income was up 2.3% at Rs. 2153.1 Crore compared to Q4FY23’s Rs. 2105.2 Crore. The bank’s Non-performing assets(NPA) were down by 11% at Rs. 3,982 crore in Q4FY24. It also reported a 31.4% decline in net NPA at ₹1,329.7 crore in the fourth quarter compared to the ₹1,934.4 crore in the third quarter of the 2023-24 fiscal year. Shares of YES Bank Ltd opened at Rs.24.57 on 20 June, on NSE.


YES Bank has now gained a stable position in the sector again and now plans to expand its operations again by borrowing debt securities.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.