MUMBAI: Yes Bank Ltd has filed the offer document for its proposed follow-on public offering (FPO) with the registrar of companies, and is expected to soon launch the public offering, said two people aware of the development.
Mint first reported on 8 June that Yes Bank was planning to raise around Rs,10,000 crore through an FPO.
On Tuesday, Yes Bank informed the stock exchanges that the capital raising committee (CRC) of the board of directors of the bank had approved raising funds by way of a further public offering.
The bank also said that a meeting of the CRC is scheduled to be held on or after 10 July, to consider and approve, among other things, the price band and discount, if any.
"Yes Bank filed its FPO offer document earlier today. They are awaiting RoC approval on the same. This is a fast issue, so the offer document doesn't need to go through a Sebi approval process," said the first person cited above, requesting anonymity.
Technically, the bank can launch the FPO after a gap of one working day of the CRC meeting that is scheduled on 10 July, the person added.
Yes Bank is aiming to raise at least ₹10,000 crore through the FPO, but it can raise more, up to ₹15,000 crore, depending on the demand that bankers are seeing, the person added.
Investment banks Axis Capital, Kotak Mahindra Capital, Citi and Bank of America are advising Yes Bank on the FPO.
The government had in March approved a rescue plan for Yes Bank. Under the plan, domestic investors including SBI, Housing Development Finance Corp. Ltd, ICICI Bank Ltd, Kotak Mahindra Bank Ltd, Bandhan Bank, Federal Bank and IDFC First Bank invested ₹10,000 crore into Yes Bank. State-run SBI led the rescue with a ₹6,050 crore infusion and currently holds a 48.2% stake in the bank