YES Bank has moved higher by over 4% to Rs 314, extending its 7% rally in past two days, after the private sector lender said it has successfully raised $257 million through a two-tranche, dual currency (US dollar and euro) multi-tenor syndicated loan facility.
The bank has raised $75 million and €34 million for one year and the balance $105 million and €24 million for two years. The said facility shall be utilized for general corporate purposes and trade finance, YES Bank said in a press release.
The bank said, the recent RBI guidelines on offering swap facility to banks, for their FCY borrowings, a 100 bps below the market rate, will further makes the landed rupee cost (or the effective interest rate) of these funds extremely competitive vis-à-vis rupee funds of equivalent maturity.
“The cost of funds for YES Bank will be three to five basis points lower due to this facility, thereby helping the net interest margins to some extent in the ongoing high interest rate environment,” said Rajat Monga, YES Bank’s CFO and Group President, Financial Markets.
The stock opened at Rs 305 and hit a high of Rs 315 on NSE. A combined around 13.8 million shares change hands on the counter till late noon deals on NSE and BSE.
The bank has raised $75 million and €34 million for one year and the balance $105 million and €24 million for two years. The said facility shall be utilized for general corporate purposes and trade finance, YES Bank said in a press release.
The bank said, the recent RBI guidelines on offering swap facility to banks, for their FCY borrowings, a 100 bps below the market rate, will further makes the landed rupee cost (or the effective interest rate) of these funds extremely competitive vis-à-vis rupee funds of equivalent maturity.
“The cost of funds for YES Bank will be three to five basis points lower due to this facility, thereby helping the net interest margins to some extent in the ongoing high interest rate environment,” said Rajat Monga, YES Bank’s CFO and Group President, Financial Markets.
The stock opened at Rs 305 and hit a high of Rs 315 on NSE. A combined around 13.8 million shares change hands on the counter till late noon deals on NSE and BSE.
