With 60% shares being held by FPIs, Insurance companies and Mutual funds, how does he propose to be back against their will? Promoter family (Kapoors and Kapurs) combined now hold less than 20% and with capital raising to the tune of 3000 Cr to 7000 Cr (a billion USD), promoters will get diluted down further. Most possibly Rana Kapoor realises that once the capital raising happens, he is permanently gone and hence raising the ruckus one last time. I don’t think this is going to work.
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No idea. Organizations have their own DNA developed by promoter/founder. CEO alone can not do any magic. If this guy was so great why did have planted Qs and bouncers.
Truly sad to see this! While I never had high opinion about YB’s mgmt. but looks like they are heading towards ADAGisation. The fact that mr. CEO is willing to let independent dirs go for protecting RK’s interests, actually settles the issue about his impartiality and clarity of purpose. It is setting itself for another round of intervention by RBI.
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Sorry but I didn’t get your point ?
How can CEO stop any independent director from resigning ?
Isn’t that something that chairman should take care and manage ?
CEO is there to run business and not for managing resignation of independent director. Isn’t it ?
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Rana Kapoor seems to have denied the reports of re-entry
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CEO is not a toothless post btw especially when he has been brought for a specific purpose. Chairman works closely with CEO for board configuration. No CEO tolerates a complete stranger on the board irrespective of qualification. Why can’t he put his foot down to maintain the status quo? Will it be easy to find independent dirs. in this environment amid so many controversies. When you have to raise capital why can’t you avoid these exits? This shows either he is not in full control or just biding his time.
Also, this shareholder present in the AGM says it’s sort of understood that because Rana Kapoor was sacked as CEO of YB by the RBI, he can’t come back as board member, although the management didn’t answer this question
“Can you share the future road map of last 3 years?”
This one had me in splits.
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I think there comes a time in every investor’s journey - to be humble, accept the mistake and move on ! that day is today for me on YES!
Key messages I learn are
- When a stock falls 30% /40% suddenly - there is ALWAYS a reason! dont bottom fish
- Contrarian strategy works once in a while - but 8/10 times you will fail
- With the kind of negative stain that YES has , my take is that folks are NOT going to trust the numbers they dish out , however transparent it might be
- Having seen the whistleblower’s 4/5 page rant - very specific allegations against Gill, Rana etc… i personally have lost hopes.
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Allegations against Gill already? He has barely joined. Can you please share the rant you are referring to?
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I received this as a fwded message… so no claim from my side on being authentic . The gist is as follows.
- on May 22nd a detailed 4/5 page letter was sent to multiple agencies/ govt depts and RBI making very very specific allegations by a whisleblower group
- Allegations of misconduct by Brahm Dutt in conducting the business , bull dozing the board
- Improper disclosures on Ranveet Gills ESOPs, Perks and Salary …some of which honestly are quite scary!
- Falsification of RBI disclosures reg managerial appointments ( taxability of certain obscenely improper perks )
And on top - the farce of an AGM these folks conducted this week is the final nail for me to say ‘enough is enough’
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It looks like something is brewing more intense than what is publicly available based on the board level exits. A whistleblower letter would make sense. Based on the exits, I think the letter probably contains a lot of truth.
Looks like moneylife already wrote an article on this.
Cant help being cynical 
YESBANK - whatever bad news was thrown at it (be it plain rumours / competitors ganging up to mess up the brand etc.- the board made sure that they became true. If I were to dispassionately evaluate the conduct of the board of jokers over the past 6-8 months, there isnt a single honest guy who stood up to the machinations of the promoter who went rogue. I just get pretty worked up when i see these one liner resignations ( “spending quality time/ academic pursuits”)… what crap! and there is a crowd to believe that as well!
I thought I can read financial statements, perform decent valuation of companies based on published info ( P/BV, PE, PEG, NIM expansion etc. etc.) … Just that all these are meaningless when the entire edifice is built on shady dealings, parallel housing finance companies, pliable board, zero sense of corp governance … the list is endless.
The list of lessons one can learn is quite endless.
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In India you don’t need all this hard work 
. You have to just stick to some management with good corp governace record. Your choices will get limited to less than 50. Buy that basket and sleep over it.
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