Yes Bank

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] Harkirat Singh resigned in April 2003 citing concerns over Rabobank's influence in appointing a leader for Yes Bank.[11][12]

In May 2004, Yes Bank obtained banking license from the Reserve Bank of India (RBI).[13] Initially, Rana Kapoor and Ashok Kapur each held 26% in the bank, Rabobank owned 20%, newly-appointed directors were allocated 3% and private equity firms held the remaining 25%.[14] The bank opened its first branch in August 2004.[11]

Yes Bank was listed on the stock exchanges of India after its IPO in June 2005 at a face value of ₹10 and an issue price of ₹35.[15][16]

In November 2008, co-founder and non-executive chairman Ashok Kapur was killed at the Trident Hotel during the 26/11 terrorist attacks in Mumbai.[17]

In September 2016, Yes Bank scrapped its proposed $1 billion share sale due to market conditions.[18][19] The company subsequently attempted to relaunch its failed capital raising exercise after appointing a new set of bankers.[20][21]

By early 2020, the financial position of Yes Bank had deteriorated as it had been unable to raise capital. This had resulted in potential loan losses, which in turn led to downgrades and prompted investors to invoke bond covenants, and a withdrawal of deposits by customers.[22][23]

On 5 March 2020, the RBI took over Yes Bank in a bailout provision. RBI reconstructed Yes Bank's board, naming Prashant Kumar, former chief financial officer and deputy managing director of State Bank of India, as its MD & CEO, along with Sunil Mehta, former non-executive chairman of Punjab National Bank, as the non-executive chairman.[24][25][26][27] Under the RBI's mandate, State Bank of India, HDFC Bank, ICICI Bank, Axis Bank and other financial institutions infused funds to help Yes Bank through a reconstruction scheme.[28][29]

In July 2020, Yes Bank completed its follow-on public offer (FPO).[30]

In April 2021, India's market regulator Securities and Exchange Board of India (SEBI) proposed a fine of inr 250000000 on Yes Bank, stating that it had fraudulently sold AT1 bonds without the necessary warnings and risk assessments.[31][32] In May 2021, the Securities Appellate Tribunal (SAT) imposed an interim stay on SEBI's order.[33]

On 21 February 2023, it issued 2,13,650 equity shares to its employees under the company ESOP plan.[34]

In April 2026, Vinay M. Tonse appointed as the new managing director & CEO of Yes Bank.[35]

Shareholding

The Sumitomo Mitsui Banking Corporation is the largest shareholder in Yes Bank, holding 24.9% of the shares.[36] While the State Bank of India (SBI), the largest scheduled commercial bank in India, was the largest shareholder in Yes Bank, the State Bank of India (SBI) has sold a 13.18% stake in Yes Bank to Japan's Sumitomo Mitsui Banking Corporation (SMBC) for ₹8,889 crore, a deal that was completed in September 2025. Currently SBI holds 10.8% of the shares.[37] Yes Bank has also received investments from international private equity firms, namely Advent International and The Carlyle Group.[38][39]

• Largest shareholders

Operations

Yes Bank operates in retail, MSME and Corporate banking sectors from 1,192 branches and 1,301 ATMs and cash recyclers in over 700 cities. It serves corporate and retail customers through retail banking and asset management services.[40]

In 2015, the bank ventured into green bond issuance to finance renewable energy projects like solar, wind, biomass, and small hydropower.[41]

In October 2017, the bank launched a digital wallet known as Yes Pay, integrating with BHIM and UPI.[42] On 3 November 2017, Yes Bank signed a MoU with the government to provide inr 10000000000 financing for food processing projects.[43]

As of September 2018, Yes Bank had taken syndicated loans from eight large international entities including ADB, OPIC, European Investment Bank, banks in Taiwan and Japan for amounts ranging from US$30 million to US$410 million.[44][45]

Yes Bank acquired a 24.19% stake in the direct-to-home (DTH) company, Dish TV, on 30 May 2020.[46]

In March 2024, Yes Bank became the official banking partner for the Indian contingent at the 2024 Summer Olympics in Paris.[47]

In May 2024, Yes Bank partnered with EBANX, a fintech company focused on cross-border e-commerce payments, to enable payments from India.[47]

Subsidiaries

2020 bailout

See also

• Banking in India
• List of banks in India
• Indian Financial System Code

Further reading