Mumbai-based private sector lender Yes Bank Ltd on Saturday announced that Japan’s Sumitomo Mitsui Banking Corporation (SMBC) has received approval from the Reserve Bank of India (RBI) to acquire up to 24.99% stake in the company, the lender informed stock exchanges on Saturday.
The approval, granted via RBI’s letter dated August 22, 2025, is valid for one year. Yes Bank, in the exchange filing, has said that RBI has clarified that SMBC will not be classified as a promoter of Yes Bank post-acquisition.
The stake purchase, first disclosed on May 9, 2025, involves SMBC acquiring 20% in Yes Bank through a secondary transaction — including 13.19% from State Bank of India and a combined 6.81% from seven other banks: Axis Bank, Bandhan Bank, Federal Bank, HDFC Bank, ICICI Bank, IDFC First Bank and Kotak Mahindra Bank.
RBI’s approval is subject to compliance with the Banking Regulation Act, 1949, RBI’s Master Directions on Acquisition and Holding of Shares or Voting Rights in Banking Companies, the Foreign Exchange Management Act, 1999, and other applicable laws. The regulator has also imposed conditions including lock-in and subsequent transactions being subject to its decision.
The consummation of the transaction remains contingent on approval from the Competition Commission of India (CCI) and fulfillment of customary conditions precedent under the share purchase agreements.
Yes Bank shares closed at Rs 19.28 on Friday, down 0.77%. Despite the dip, the stock has gained around 8% over the past six months.
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