RNAM Tells Trustees To Sell Pledged Shares Of Yes Bank’s Rana Kapoor
Rana Kapoor has less than 5 percent stake left in Yes Bank, and the same has been pledged with Reliance Nippon Life.
Reliance Nippon Life Asset Management Ltd. has directed its trustees to sell the remaining pledged shares of Rana Kapoor, co-founder of Yes Bank Ltd., as a collateral with the mutual fund house, people in the know said Tuesday.
Kapoor has less than 5 percent stake left in Yes Bank, and the same has been pledged with RNAM, they added.
"RNAM has given instruction to its trustees to sell entire holding of Kapoor in Yes Bank," one of the people cited above said. Kapoor has pledged shares of Yes Bank to RNAM, asset manager of Reliance Mutual Fund, as collateral.
When contacted, Yes Bank refused to comment on the development.
Kapoor and his group entities—YES Capital Pvt. Ltd. and Morgan Credit—have been reducing stake in Yes Bank, which is reeling under exposure to stressed assets.
In September, YES Capital sold 1.8 percent shareholding in the bank and said the proceeds would go to Franklin Templeton Asset Management, with whom its shareholding of Yes Bank was pledged.
In the same month, Morgan Credits sold 2.3 percent stake in Yes Bank for Rs 337 crore to prepay certain part of its outstanding dues to Reliance Nippon Life AMC.
On Tuesday, Yes Bank shares fell 22.80 percent to Rs 32.00 apiece on the BSE while the benchmark Sensex shed 0.94 percent to end the day at 38,305.41 points.
