Rana Kapoor Pledges Part Of His Stake In Yes Bank
Rana Kapoor, co-founder of Yes Bank Ltd., pledged part of his stake in the private sector lender as a security cover to bonds issued by Morgan Credits Pvt. Ltd.—a promoter entity.
A pledge was created against Kapoor’s 4.31 percent and Morgan Credits’ 3.03 percent stake, or 7.02 crore shares, held in the bank, according to an exchange filing. Total promoter pledged holding now stands at 18.7 crore shares, or 8.1 percent of the total equity, according to BSE data. The market value of pledged shares was Rs 1,704.50 crore as of Monday’s close.
Shares of Yes Bank have tumbled more than 77 percent since its last peak in August 2018 after the Reserve Bank of India denied Kapoor an extension, forcing him to step down. The bank’s leadership had came into question after the regulator pointed out discrepancies in the way it reported its bad loans. In January, Yes Bank named Ravneet Gill, former head of Deutsche Bank in India, as Kapoor’s successor.
Corrects an earlier version that misstated that the filing was made by Yes Bank.