Yes Bank to raise 1,500 Crore in FY 11

Thursday, 29 July 2010, 09:38 Hrs
Printer Print Email Email
Mumbai: Private sector lender YES Bank plans to raise
1,500-crore debt in the current fiscal, which will help the lender fuel its business growth. "We should raise 1,500-crore of upper tier II and lower tier II capital by March 2011," said YES Bank's Managing Director and CEO, Rana Kapoor.

The money will be raised for funding infrastructure growth and agri growth, Kapoor said, adding it would also provide an opportunity to the Bank to provide long-term lending to infrastructure companies.

Asked on any equity-raising plan, Kapoor said, "our core capital position is quite healthy. We have already raised $225-million in January so we don't need money at least for one year."

Yes Bank today reported a growth of 56.26 percent in its net profit for the first quarter ended June 30 at 156.4 crore on the back of a good credit growth and improved margins. The bank had a net profit of 100.1-crore during the corresponding quarter of the previous fiscal.

The bank also reported an increase of 28.38 percent in its total income during the first quarter at 883.03- crore, as against 687.85-crore during the year-ago period.

"The bank has consistently achieved record profits, and for the first time achieved an over 150-crore of net profit for the quarter ended June 30, 2010, on the back of a strong credit growth of 107.2 percent YoY and steady margins with net interest margins (NIMs) stable at 3.1 percent," Kapoor said.

Yes Bank recorded a more than two-fold jump in its total advances during the quarter ended June 30 at 26,256.8 crore, from 12,670.5-crore during the same quarter last year.

Its total deposits climbed steeply by over 97 percent to 30,238.7-crore during the first quarter of this fiscal, as against
15,342.3-crore during the corresponding period of 2009-10.

The private bank's net interest income (NII) was
262.1-crore for the three-months ended June 30, a rise of 67.16 percent over the figure of
156.8-crore reported during the year-ago quarter.

The bank continued to maintain minimum net NPAs. While gross NPAs reduced by 25 bps YoY to 0.23 percent, the net NPAs reduced by 20 bps to 0.04 percent. Gross NPAs and net NPAs were at 0.27 percent and 0.06 percent in FY 10.

The bank has received 91 new branch licenses and plans to open 100 new branches across India, and take the branch network to 250 within the next one-year.

"I believe that this incremental branch expansion is a significant organizational imperative for the bank's next phase of growth Version 2.0 that will further propel retail/SME banking initiatives and provide further acceleration in building our CASA and fixed deposits granularly," Kapoor said.
Source: PTI
Ola raises Rs 400 cr for electric
Leading ride-hailing cab aggregator Ola on Friday said it raised Rs 400 crore from its early in..
SpiceJet plans aggressive
Budget passenger carrier SpiceJet plans to aggressively expand its international networks to fl..
Fossil Group sells smartwatch
Global watch and accessories maker Fossil Group has announced to sell its smartphone technolog..
GST rate cut to spur Bengaluru
The realty market in India's tech hub is set to grow as lower Goods and Services Tax (GST) rate..