Yes Bank declines on reports of Sebi's initial probe into bank's QIP fiasco

Yes Bank lost 1.13% to Rs 1,264.60 at 10:45 IST on BSE on reports that Sebi has found reasons enough to launch adjudication proceedings against the bank over its abortive $1 billion qualified institutional placement.

Meanwhile, the S&P BSE Sensex was up 90.54 points or 0.32% at 28,311.52.

On BSE, so far 1.81 lakh shares were traded in the counter as against average daily volume of 2.54 lakh shares in the past one quarter. The stock hit a high of Rs 1,268.70 and a low of Rs 1,229 so far during the day. The stock had hit a 52-week low of Rs 632.25 on 20 January 2016. The stock had hit a record high of Rs 1,450 on 7 September 2016. The stock had underperformed the market over the past one month till 5 October 2016, sliding 7.82% compared with 1.09% fall in the Sensex. The scrip had, however, outperformed the market in past one quarter, gaining 13.63% as against Sensex's 3.88% rise.

The large-cap bank has equity capital of Rs 421.66 crore. Face value per share is Rs 10.

According to reports, initial investigations by the stock market regulator Securities & Exchange Board of India (Sebi) found that Yes Bank had violated key norms of the listing obligations and disclosure rules (LODR) relating to misrepresentation of facts and adequate disclosure before it proceeded with the qualified institutional placement (QIP) last month. It may be recalled that Yes Bank had announced on 8 September 2016 its decision to defer the earlier planned QIP of shares citing extreme volatility during trading day on 8 September 2016 because of misinterpretation of new QIP guidelines. The bank had on 7 September 2016 announced opening of QIP of equity shares of face value Rs 10 each to raise up to $1 billion. Yes Bank had fixed Rs 1,371.84 per share as the floor price at that time.

Meanwhile, in its clarification issued to the stock exchanges during market hours today, 6 October 2016, Yes Bank said that as a matter of policy, it does not comment on such speculative stories.

Yes Bank's net profit rose 32.8% to Rs 731.80 crore on 25.4% growth in total income to Rs 4762.83 crore in Q1 June 2016 over Q1 June 2015.

Yes Bank is one of the leading private sector banks in India.

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