What is the full form of YES Bank ?
YES BANK - Youth Enterprise Scheme Bank
Yes Bank is India’s new age private sector Bank, founded by a professional entrepreneur, Rana Kapoor. It is engaged in providing a range of banking in four segments : Retail Banking, Treasury, Corporate / Wholesale Banking (lending, deposit taking and other services offered to corporate customers) and Other Banking Operations.
Yes Bank was incorporated as a Public Limited Company on November 21, 2003.
Yes Bank Update News 11/03/2020 -
Yes Bank crisis: Bad loans worth Rs 20,000 crore granted on Rana Kapoor’s direction
The total exposure of Yes Bank could be over 2.25 lakh crore but of that, the non-performing assets (NPA) are reportedly around Rs 42,000 crore. As per officials of the Enforcement Directorate (ED), interrogating Yes Bank founder Rana Kapoor, of these Rs 42,000 crore loans that turned into NPAs, Rs 20,000 crore were allegedly offered to some corporate companies and Non-Banking Financial Companies (NBFCs) on Kapoor’s instructions.
Yes Bank Update News - Bond Street Offers new Plan For Yes Bank,Keep to settle - 11/03/2020
The bondholders have proposed conversion of Rs 8,500 crore AT1 (or, additional tier 1) bonds into Rs 1,700-crore equity with existing stockholders of Yes Bank roughly ending up holding one share for every three equity shares they have. "A number of mutual funds stuck with AT1 bonds are willing to invest fresh shares that Yes Bank would issue under the reconstruction plan that SBI is leading," a person aware of the proposal told ET.
How Yes Bank's Finances Quickly, and Surprisingly, Deteriorated Over the Last 3 Years -
The most astonishing thing about the Yes Bank crisis is that everyone knew it was coming, and yet everyone seems to have been taken by surprise when it did arrive.
Consider the circumstances. Rana Kapoor, the private sector lender’s founder-CEO, was ejected out of his position in January 2019, after a bitter struggle with the Reserve Bank of India.
In the very first reporting period after his departure, that is, in the quarter ended March 31, 2019, the bank posted a net loss of Rs 1,507 crore (or Rs 15.07 billion). The corresponding period in the immediately preceding year saw the bank book a profit of Rs 1,179 crore (or Rs 11.79 billion). This indeed was the first time ever since its launch in 2004 that Yes Bank (YB) registered a loss. There were other tell-tale signs, too.
While the bank had reported a gross non-performing assets ratio of 2.10% in the last quarterly results published on Kapoor’s watch (October-December 2018), in the three succeeding quarters after he moved out, the ratio climbed to 3.22%, 5.01% and 7.39% respectively. In other words, in the nine months since he left the bank, the NPAs had fattened by over 350%, an improbable eventuality unless there were serious reporting issues involved here.