Five investors bought nearly two-thirds of the QIP offering in Yes Bank

These are Societe Generale (18.75%), Key Square Master Fund LP (16.18%), BNP Paribas Arbitrage (14.43%), HDFC Trustee Company Limited A/C HDFC Balanced Advantage Fund (10.26%) and Key Square Master Fund II LP (5.88%).

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“We wish to inform you that the Capital Raising Committee of the board of directors of the bank on 15 August approved the issue and allotment of 231,055,018 equity shares of face value ₹2 each to the eligible qualified institutional buyers at the issue price of ₹83.55 per equity share (which takes into account a discount of 4.95%) to the floor price of ₹87.9 per equity share, aggregating to ₹19,304 crore," it said in a regulatory filing on Thursday. Following the allotment of shares in this issue, the paid-up capital of the bank stands at ₹5,100.06 crore consisting of over 2,550 million equity shares of face value of ₹2 each.

Yes Bank said on 8 August said that it has launched a qualified institutional placement (QIP) offering. A QIP is a capital-raising tool through which listed companies can sell equity shares, fully and partly convertible debentures, or any securities other than warrants that are convertible into stocks, to a qualified institutional buyer.

Mint reported on 8 August that Yes Bank was looking to raise around ₹2,000 crore through the institutional share sale, citing a person aware of the development.

The lender set a floor price of ₹87.9 apiece for the share sale and plans to use the funds to meet its capital requirements.

“We intend to use the net proceeds for meeting our capital requirements under Basel III norms, ensuring adequate capital to support growth and expansion, including enhancing our solvency and capital adequacy ratio, refinancing of our Tier 1 and Tier 2 bonds and for general corporate purposes," the bank had said in its filings with stock exchanges.

Shares of Yes Bank on the BSE closed at ₹76.55 on Wednesday, up 4.01% from their previous close.