YES Bank surges 15% intra-day ahead of its CEO search committee meeting

The stock moved higher by 15% to Rs 268, bouncing back 24% from its intra-day low of Rs 217 on the BSE.

YES Bank has moved higher by 15% to Rs 268 on the BSE in intra-day trade ahead of the first meeting of the search & selection committee today for finalization of the advisory firm. The stock bounced back 24% from its intra-day low of Rs 217.

The private sector lender on Friday after market hours had said that it has invited proposals from global leadership advisory firms and will finalise the company in the committee’s first meeting, which is scheduled to be held on October 11.

Since then, the stock of YES Bank has rallied 25% as compared to 0.65% decline in the S&P BSE Sensex. It surged 55% from its 52-week low of Rs 166 on September 29, 2018, on the BSE in intra-day trade.

The board of private sector lender at their meeting held on October 5, inducted TS Vijayan, former chairman of Insurance Regulatory and Development Authority of India (IRDAI) and Life Insurance Corporation of India (LIC), and OP Bhatt, former CMD of State Bank of India (SBI), as external experts in the committee.

The committee also comprises three existing board members of the Nomination & Remuneration Committee — Brahm Dutt, chairman and independent director, Mukesh Sabharwal, independent director and Subhash Kalia, non-executive non-independent director, along with the two external experts.

YES Bank’s stock had fallen drastically in the month of September, as there was uncertainty regarding its succession plan since Kapoor’s tenure was cut. It tanked 47% in the month of September, as compared to a 6% decline in the S&P BSE Sensex.

At 12:27 PM; YES Bank was trading 6% higher at Rs 249 against 1.8% decline in the benchmark index. The counter has seen huge trading volumes with a combined 66.31 million equity shares changed hands on the BSE and NSE so far.