An ET report suggests that global private equity players – TPG, The Carlyle Group and Farlan Capital – are looking to buy a larger strategic stake in Yes Bank.
A Reuters report, citing Mint, suggested that the bank was in talks with Microsoft and two other technology companies to sell potential shares. Lender scrips include significant exposure to ailing companies.
The talks began three weeks ago and could see the bank sell as much as 15% through a new equity issue, Reuters quoted Mint as saying, citing two people aware of the talks.
The sale of the shares could fetch the lender Rs 2,000 crore, the paper said.
Earlier, ET said that private equity funds TPG, The Carlyle Group and Faralon Capital also wanted to buy a stake in the company. Negotiations have progressed considerably over the past few days and as a result, one or more private equity firms may take a significant stake in the bank, providing lenders with the growth capital needed to compete at the top level of Indian banking, ET reported.
The bank’s chief executive officer, Ravneet Gill, said last week that lenders were in talks with private equity firms, strategic investors and family offices to raise additional capital.
Shares of the lender rose 8.19 per cent to close at Rs 45.60 on the BSE.