Yes Bank witnessed a surge of up to 13 percent in early trading on the NSE on February 6, following the Reserve Bank’s approval for HDFC Bank to acquire stakes in it and five other lenders. By 11:08 am, the Yes Bank stock was trading at Rs 25, reflecting a 9.5 percent increase from the previous close.
HDFC Bank disclosed in a regulatory filing that the Reserve Bank of India has granted approval for the group to acquire stakes of up to 9.5 percent in IndusInd Bank, Yes Bank, Axis Bank, ICICI Bank, Suryoday Small Finance Bank, and Bandhan Bank. The approval, valid for one year, is designated for investments by HDFC Asset Management Company (AMC), HDFC Ergo, and HDFC Life Insurance, as outlined in the filing.
This approval comes with a one-year validity and will be rescinded if HDFC Bank Group fails to complete the stake acquisitions within the specified timeframe. In the third quarter of FY24, Yes Bank reported a notable 349.7 percent increase in net profit, reaching Rs 231.6 crore compared to Rs 51.5 crore in the previous fiscal year. The operating profit for the same period also exhibited growth, rising by 5.4 percent to Rs 864 crore.
