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SMBC Holds at 24.99% in Yes Bank as Shares Slip on Stake Pledge

The Japanese bank plans to exert influence through board representation after halting just below the 25% open-offer trigger.

Overview

  • Rajeev Kannan said SMBC has no immediate plan to raise its holding beyond the regulatory cap and does not seek an executive role at Yes Bank.
  • SMBC is now the largest shareholder at or near 24.99% after RBI cleared purchases following a May deal to buy 20% for $1.6 billion.
  • Yes Bank inducted two SMBC nominees to its board this quarter: Rajeev Veeravalli Kannan and Shinchiro Nishino.
  • Yes Bank shares fell about 4–5% after the disclosure, retracing part of a recent rally driven by open-offer speculation.
  • Crossing 25% in India would trigger a mandatory open offer for at least an additional 26% of shares, a step SMBC is not pursuing now.