Yes bank share price jumps more than 8% on the SMBC's stake of SBI, HDFC Bank, Other | Einsmark news

Yes, the bank’s share price rose by more than 8% on Monday after Sumitomo Mitsui Banking Corporation, Japan, announced to acquire a 20% stake in the state bank of the State Bank of India (SBI) consortium. Yes, bank shares jumped up to 8.7% to £ 21.74 each on the BSE. SBI, along with seven other banks, agreed to sell a joint 20% stake in Yes Bank to SMBC for a total consideration of £ 13,483 crore. Upon completion of the transaction, SMBC will become the largest shareholder of the Mumbai-based Yes Bank. Of the total stake of 20% offered, SBI will download a 13.19% stake for £ 8,889 crore, while the remaining 6.81% will be sold by seven other financial institutions – Axis Bank, Bandhan Bank, Federal Bank, HDFC Bank, ICICI Bank, IDFC First Bank and Kotak Mahindra Bank – for £ 4.594 CRore. SBI and the seven investor lenders invested in the bank in March 2020 as part of the YES Bank Herbuchema. Yes it is suggested that the bank share sale occurs at a price of £ 21.50 per shares, it says. After transaction, SBI’s shareholding in Yes Bank will reduce from 24% to just over 10%. On March 31, 2025, the other participating banks held the following interests in Yes Bank: HDFC Bank (2.75%), ICICI Bank (2.39%), Kotak Mahindra Bank (1.21%), Axis Bank (1.01%), IDFC First Bank (0.92%), Federal Bank (0.76%) and Bank (0.70%). “This transaction is the largest border -crossing investment in the Indian banking sector … The transaction is a significant milestone to drive the next phase of growth phase, profitability and value creation YES Bank, and we expect to utilize the global expertise of SMBC in this phase,” Bank said. The transaction is subject to the necessary regulatory and statutory approvals, including the Reserve Bank of India and the Competition Commission of India and will be subject to customary closing conditions, it states. SMBC is a wholly owned subsidiary of Sumitomo Mitsui Financial Group, Inc. (SMFG), the second largest banking group in Japan, with total assets of USD 2 trillion on December 2024 and a strong global footprint. Yes Bank Q4 Results Yes Bank reported a 63% string in the independent net profit to £ 738 in the fourth quarter of FY25, compared to £ 451.9 crore in the corresponding quarter a year ago. In FY25, the net profit of the bank doubled to £ 2,406 crore compared to £ 1.251 crore in the previous financial year. The bank’s net interest income (NII) in Q4FY25 grew by 5.7% year-on-year (yoy) to £ 2,276.3 crore. The net rent margin (NIM) during the quarter ended March 2025 improved slightly to 2.5% of 2.4%, yoy. At a full year of year, NIM was at 2.4%. Yes bank share price Yes bank share price rose 21% within one month, and the stock increases by 6% YTD. Although yes bank shares fell by 7% in one year, the baking stock rose 30% within two years. At 09:20 o’clock, the bank shares traded 3.75% higher at £ 20.75 per piece on the BSE. Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, and not of currency. We advise investors to check with certified experts before making investment decisions.