Yes Bank open to inorganic opportunities for growth

MUMBAI: Yes Bank sees itself as a potential acquirer and not a takeover target. The bank, which proposes to raise Rs 10,000 crore of capital, has said that it will grow 15% and gain further market share. “After cleaning up the bank, we would like to be a very strong player.

During our journey, if we see any inorganic growth we will look at it,” said Prashant Kumar, MD & CEO, Yes Bank, addressing analysts. According to Kumar, the bank sees itself as a franchise that is extremely strong on the digital side, with one of three digital transactions in India being processed through the bank.

“This is a platform which can grow and reward the investor. Despite the large equity, we are best placed in terms of the potential for upside. We have already demonstrated this with the capital we raised in 2020,” said Kumar. He added that although the bank’s 11.6% common equity tier I capital is enough to meet loan growth requirements this year, the bank aims to raise more as a buffer given the uncertainties and meet future growth requirements.

Kumar said that the bank expects to finalise a partner and put in place an asset reconstruction company (ARC) in the first quarter of the current financial year.