It seems there is nothing new in this and it’s like summary of all articles written during past 3-4-5 months …fear mongering at play ?? It seems so
I think almost all banks have same kind of exposure. Incase of Yes bank, main reason’s are reckless lending starting from 2017 and which has increased after RBI didn’t extend Rana Kapoor term. Second is new CEO showing lot of NPA which were hidden. This made markets not to believe whats there in the books. Now ADAG is crumbling. Quick recovery from Essel, DHFL & CCD will help in situation along with capital. Cox and Kings I feel not even a penny will come.
Everyone is waiting for Q3 results notification but no word from Yes Bank till now.
Q3 results delayed. Will be declared before March 14.
Yes Bank Ltd. said it has delayed its third-quarter earnings as the private lender is reviewing non-binding expressions of interest from four investors. Yes Bank has received non-binding EoIs from JC Flowers & Co. LLC, Tilden Park Capital Management, OHA (U.K.) LLP and Silver Point Capital, according to its exchange filing on Wednesday. The bank, which had to declare its October-December results by Feb. 14, will now report earnings on or before March 14.
Article says investors are coming in at less than Current Market Price, which is surprising - I thought they need to buy at 6 months average price. Earlier, Ranveet Gill was trying to indicate price as Rs. 70 per share for the earlier set of investors.
With every passing day they loosing their bargaining power if they delay more who know they may have to dilute at 25rs too .
So sooner they seal the deal better it is for everyone
Never believe BQ articles or journo’s. They never had internal sources in Yes Bank. All are very angry that Yes Bank is getting money !! If it was carried by CNBC Latha Venkatesh or Nisha Poddar it would have given some weight. If price is below CMP, mostly bank may not go for full amount but in tranches.
Better article with much more info
How will this dilution impact valuation. There seems to be two thoughts:
- Lower valuation: Due to massive dilution at token price.
- Higher valuation: Government backed promoters providing stability
How this SBI and LIC investment can help the bank? Yea Bank need money of a much larger scale …this 490 crore is a very small amount. Seasoned investors please share views
JP Morgan terms it as Depositor bail-out and put target as Re1
Now curbs on withdrawal from yes bank.
So Rana talwar was rightly asked to go.
Reality is out.
Bank is a bankrupt
The government has effected moratorium on YES Bank from March 5 to April 3. The order came into effect from 6 pm. The private lender will not pay depositors more than Rs 50,000 during the moratorium period, irrespective of number of accounts with bank.
Why should someone consider your post as offensive?A bank going belly up is a issue that would concern the govt, the RBI,the statutory auditors and the BOD leave alone the depositors.
No one can deny that the death warrant was signed during RKs reign and the attempt to conceal the truth failed though was successfuly delayed.
Obviously his role will be investigated and there will be clamour to haul him up.
What happens to shareholders if it gets acquired/amalgamated into SBI, JP Morgan has given a target of 1 rs, might as well have made it zero
One can speculate about the timing but the destination is clear i.e. Rs 1-5 /share. The book value is going to be negative on 31st March unless some large injection of cash. Even value investors will be hard pressed to find a metric to value this unguided missile. I have seen arguments like branches, loyal customers etc etc but folks always forgot that every aspect of a bank is just a commodity if prudence is absent.