US-based Capital International commits to invest at least $120mn in YES Bank.
Money Incoming: Capital International, a part of the $1.87tr US-based Capital Group has committed to invest at least $120mn in Yes Bank. The amount could possiby be raised in the future.
The fund is one of the eight investors that expressed interest in investing in YES Bank and is waiting for regulatory approvals in the US. ET Markets
Hit Refresh: Yes Bank in a regulatory filing last week had announced it has increased the size of its preferential share allotment to $2bn from the earlier guidance of $1.2bn on the back of “strong interest” shown by NRI investors, including a $1.2bn offer by Erwin Singh Braich and SPGP Holdings, and $500mn by Citax Holdings and Citax Investment Group.
Other prominent suitors include the Aditya Birla Family Office ($25mn), GMR Group and Associates ($50mn), and Rekha Jhunjhunwala ($25mn).
However, despite the announcement, shares of Yes Bank were down c. 7% on Monday on the back of some disappointment about the lack of a heavyweight international investor among the firms and individuals announced. Coupled with this were certain reservations regarding the quality of investors, who were relatively unknown to the public. BS
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