The capital raising committee of the board of the bank Friday approved issuing 30,420 rated listed non-convertible redeemable unsecured Basel-III compliant tier II bonds of Rs 1 million each aggregating to Rs 30.42 billion, Yes Bank said in a regulatory filing.
The issue opening and closing date is September 14, 2018.
The bonds, set to mature on September 15, 2028, carry coupon rate of over 9.11 per cent payable annually.
To comply with the global Basel-III capital regulations, banks need to improve and strengthen their capital planning processes.
These norms are being implemented to mitigate concerns on potential stresses on asset quality and consequential impact on performance and profitability of banks.
This will align full implementation of Basel-III in India closer to the internationally agreed date of January 1, 2019.
Yes Bank shares closed 2.75 per cent up at Rs 323.10 on BSE.