Yes Bank has fixed Rs 12 as the floor price and Rs 13 as cap price for its proposed Rs 15,000 crore FPO
Yes Bank's capital raising committee on July 10 fixed a floor price of Rs 12 per equity share and cap price of Rs 13 per share for its follow-on public offer (FPO). The price is at an over 50 percent discount to the market price. The lender plans to raise Rs 15,000 crore through the offer.
Employees of the bank will get a discount of Re 1 per share if bidding through Employee Reservation Portion, the lender said in a release. Investors will need to bid for a minimum of 1,000 equity shares and in multiples of 1,000 thereafter.
The decision is in regards to the public offering of equity shares of the face value of Rs 2 each by Yes Bank in accordance with Securities and Exchange Board of India (SEBI) provisions.
The CRC, at its meeting held earlier today (July 10) has also approved cap price of Rs 13 per equity share; a discount of Rs 1 per equity share for the eligible employees of Yes Bank bidding in Employee Reservation Portion; and a minimum bid lot of 1,000 equity shares and in the multiples of 1,000 equity shares thereafter.
Another meeting of the CRC is scheduled on July 14, to discuss allocation of equity shares for successful Anchor Investors pursuant to the offer and for determination of the Anchor Investor Allocation Price.
“We request you to kindly take this on record and consider the above in accordance with Regulations 29 and 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended,” the bank said in its statement to the exchanges.
Meanwhile, the share price of Yes Bank, declined 9 percent intraday on July 10 after the private lender approved the price band for its follow-on public offer (FPO).
At 1225 hours, Yes Bank was quoting at Rs 25.55, down Rs 1.10, or 4.13 percent on the BSE.The share price has declined 72 percent in the last year.