YES BANK, India's new age private sector Bank today announced that it has secured the approval of shareholders at the Extraordinary General Meeting (EGM), held in Mumbai, to issue 10 million equity shares to Swiss Reinsurance Company, Zurich, Switzerland (Swiss Re), at INR 120 per share aggregating to an investment of INR 1.20 billion (approximately USD 26.5 million) with a lock-in period of one year.
The resolution moved at the Bank's EGM, enables YES BANK to increase its share capital to 280 million shares on receipt of regulatory approvals. This new Tier I issuance constitutes 3.57% of the expanded share capital of the Bank.
On this occasion, Mr. Rana Kapoor, Founder / Managing Director & CEO, YES BANK Ltd. said, "These capital raising initiatives are a part of the Bank's overall plan to raise up to USD 150 million by the end of March 2007. Recently we successfully raised INR 1.8 billion (USD 40 million) of subordinated Tier II debt through private placement issue of unsecured, redeemable, non-convertible, subordinated bonds".
Earlier, the Bank, in July 2005, successfully concluded an Initial Public Offering of Rs. 3.15 billion (approximately USD 70 million) that was oversubscribed 30 times.
