Yes Bank

Overview

YES BANK

type	Public
traded as	bse: 532648 nse: YESBANK
isin	INE528G01035
industry	Banking, Financial services‡R1R‡
founded	2003
founders	Rana Kapoor Ashok Kapur
key people	Rama Subramaniam Gandhi (Non-Executive, Part-time chairman, Independent Director) Vinay M. Tonse (MD & CEO)‡R2R‡
products	Credit cards Consumer banking Corporate banking Finance and insurance Mortgage loans Private banking Wealth management Investment banking
revenue	inr 367520000000‡R3R‡
revenue year	2025
net income	inr 24470000000‡R3R‡
net income year	2025
assets	inr 4230000000000.0005
assets year	2025
equity	inr 477800000000‡R4R‡
equity year	2025
num employees	28,690 (2025)
ratio	15.4%‡R5R‡
location	Mumbai, Maharashtra, India
homepage	https://www.yes.bank.in

Yes Bank (stylised in all caps) is an Indian private sector bank, headquartered in Mumbai, catering to retail customers, MSMEs, and corporate clients. The bank was founded by Rana Kapoor and Ashok Kapur in 2003.[6] Its network is spread across 300 districts in India and comprises 1,198 branches, 193 Business Correspondent Banking Outlets (BCBOs) and 1,287+ ATMs.[7][8]

History

In 1997–98, three Mumbai-based bankers–Rana Kapoor, Ashok Kapur and Harkirat Singh–co-founded Rabo India Finance in partnership with Rabobank of the Netherlands.[9] In early 2003, the three bankers started Yes Bank with proceeds from selling their stakes in Rabo India Finance.[10]

2020 bailout

Moratorium

On 5 March 2020, the Reserve Bank of India (RBI) announced that, in the interest of its customers and depositors, it would suspend and supersede Yes Bank's board and impose a 30-day moratorium on its operations.[50] The RBI cited Yes Bank's failures to raise new funding to cover its non-performing assets, inaccurate statements of confidence in its ability to receive new funding, and its underreporting of its non-performing assets, among other factors, as the reasons for the moratorium.[51]

On 6 March 2020, ICRA downgraded the rating of Yes Bank's inr 526000000000 in core bonds to a "D" rating, while Moody's downgraded them to "Caa3".[52][53][54]

During the moratorium period, Yes Bank customers could withdraw only up to inr 50000 from their accounts for the following one month, except in certain situations like medical treatment, emergencies, higher education costs and obligatory expenses for ceremonies such as weddings (subject to RBI's approval).[55] The moratorium disrupted multiple e-commerce services whose users were struggling to make online transactions or use payment services like UPI.[56][57][58]

RBI governor Shaktikanta Das stated that the matter would be resolved swiftly; Ministry of Finance under Finance Minister, Nirmala Sitharaman announced a proposed turnaround plan under which the State Bank of India would take a 49% stake in Yes Bank and introduce a new board.[59][51][55][60] On 13 March 2020, the Union Cabinet approved the reconstruction scheme for Yes Bank, stating that within three days of the notification of the scheme, the moratorium would be lifted.[61] During this reconstruction, seven investors infused inr 120000000000 in Yes Bank, and Prashant Kumar was proposed as it new CEO. These investors included State Bank of India, ICICI Bank, HDFC Bank

The bank came out of the moratorium and resumed full-fledged banking operations on 18 March 2020.[63][64]

Reconstruction

Under the new management, Yes Bank's liquidity profile improved with a rise in deposits.[65] The bank generated inr 150000000000 via follow-on public offer in July 2020.[66]

ICRA raised its ratings on securities issued by Yes Bank Ltd in September 2020.[67] Low-level Basel II bonds and infrastructure bonds were raised to "BBB" from "BB+." Tier II bonds that are in line with Basel III were raised from "BB" to "BBB-." Tier I and higher tier II bonds that were compliant with Basel II were raised from a default rating to a "BB" rating.[68]

Moody's changed Yes Bank's long term issuer rating from Caa1 to B3 in August 2020.[69] In November 2020, CARE Ratings revised its rating on the YES Bank's infrastructure bonds to 'CARE BBB' from the previous 'CARE B'.[70]

Yes Bank

History

Shareholding

Operations

Subsidiaries

YES Securities

2020 bailout

Moratorium

Reconstruction

See also

Further reading

References