Yes Bank gains as RBI clears increase in ceiling on investment by FIIs

Yes Bank gained 0.3% at Rs 1,065.50 at 9:51 IST on BSE after the Reserve Bank of India raised the ceiling on investment by foreign institutional investors to 74% of the private sector bank's paid up capital from earlier 60%.

Meanwhile, the S&P BSE Sensex was off 281.56 points or 1.06% at 26,354.19.

On BSE, so far 55,853 shares were traded in the counter as against average daily volume of 3.14 lakh shares in the past one quarter. The stock hit a high of Rs 1,072 and a low of Rs 1,053 so far during the day. The stock had hit a record high of Rs 1,085 on 7 June 2016. The stock had hit 52-week low of Rs 590 on 24 August 2015. The stock had outperformed the market over the past one month till 10 June 2016, surging 11.84% compared with the Sensex's 3.35% rise. The scrip had also outperformed the market in past one quarter, jumping 34.05% as against the Sensex's 8.17% rise.

The Reserve Bank of India's (RBI) nod for higher ceiling on investment by foreign institutional investors (FIIs) came after Yes Bank's board of directors and shareholders approved the proposal. The RBI has capped the total foreign shareholding from all sources in Yes Bank at 74% of the bank's equity. Last month, the Cabinet Committee on Economic Affairs cleared Yes Bank's proposal for increase in foreign investment limit in the bank's equity capital to 74% from 41.87% without any sub-limits.

The large cap private sector bank has equity capital of Rs 421 crore. Face value per share is Rs 10.

Yes Bank's net profit rose 27.4% to Rs 702.11 crore on 17.7% rise in total income to Rs 4331.11 crore in Q4 March 2016 over Q4 March 2015.

Yes Bank is a private sector bank with a pan India presence.

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