Private sector lender YES Bank said on Friday that it has raised $500 million (₹2,942 crore) through a qualified institutional placement of 5.35 crore shares on Friday. This, the bank said, will position it to benefit from “significant growth opportunities that will accelerate with the improving political and economic environment in India.”
The bank said that the offer price of ₹550 a share was at a slight premium to Thursday’s close of ₹548.15 a share.
“The issue opened with share sale of $500 million and was oversubscribed over five times generating an aggregate worldwide demand of $2.5 billion,” the bank said in a statement.
The bank said the capital raising has been consummated to enhance the long-term resources of the bank. It said the overall allocation to foreign institutional investors is approximately 40 per cent from the US/Europe, 30 per cent from Asia, and domestic insurance companies and mutual funds accounting for the balance.
On Friday, shares of YES Bank closed at ₹569.45, up 3.56 per cent, on the BSE.