First Abu Dhabi Bank says not evaluating any offer for stake in Yes Bank

The Middle Eastern lender was weighing a bid for as much as a 51 percent stake in Yes Bank, Bloomberg reported on July 11

First Abu Dhabi Bank PJSC has denied reports that it is evaluating any possible offer for a stake in YES Bank, Reuters reported on July 11.

Yesterday, Bloomberg reported that First Abu Dhabi Bank PJSC is among potential suitors for a roughly $5 billion stake in the Indian bank.

The Middle Eastern lender was weighing a bid for as much as a 51 percent stake in Yes Bank, the report said citing sources.

The stake sale has also drawn preliminary interest from Japan, including Mitsubishi UFJ Financial Group Inc. and Sumitomo Mitsui Financial Group Inc., although it remains unclear how strong their appetite for a deal is and whether they will proceed, according to the report.

Also read: Yes Bank jumps over 7% as Moody's upgrades outlook to 'positive'

Meanwhile, the Indian lender denied a report that said it has received an in-principle approval from the Reserve Bank of India for a 51 percent stake sale.

State Bank of India has pared its holding in Yes Bank after rescuing the lender four years ago when it was inundated with bad loans. It remains its biggest shareholder with a 24 percent stake.

SBI’s chairman Dinesh Khara’s tenure is due to end in August, potentially delaying a deal involving Yes Bank.

With inputs from agencies