{"id":519,"date":"2020-07-14T12:38:57","date_gmt":"2020-07-14T12:38:57","guid":{"rendered":"https:\/\/www.invest19.com\/blog\/?p=519"},"modified":"2020-07-14T12:38:59","modified_gmt":"2020-07-14T12:38:59","slug":"yes-bank-fpo-opens-on-july-15-2020-should-you-invest-or-not","status":"publish","type":"post","link":"https:\/\/www.invest19.com\/blog\/yes-bank-fpo-opens-on-july-15-2020-should-you-invest-or-not\/","title":{"rendered":"Yes Bank FPO Opens on July 15, 2020 \u2013 Should you Invest or not?"},"content":{"rendered":"<div style=\"margin-top: 0px; margin-bottom: 0px;\" class=\"sharethis-inline-share-buttons\" ><\/div>\n<p>On July 15, 2020, the private sector lender Yes\nBank will launch its 15,000 crores follow-up public offering (FPO) with the\nobjects of ensuring adequate capital to support growth and expansion, debt repayment,\nand enhancing capital adequacy ratio. Headquartered in Mumbai, the Yes Bank has\na pan-India presence across all 28 states and 8 Union Territories of India;\nproviding a wide range of services and technology-driven offerings to\ncorporates, MSME &amp; retail customers since 2004. <\/p>\n\n\n\n<p>It provides investment banking, merchant banking &amp; brokerage business through Yes Securities and mutual fund business through Yes Asset Management Limited (YAML).<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"counter-hierarchy counter-decimal ez-toc-grey\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\"><i class=\"ez-toc-glyphicon ez-toc-icon-toggle\"><\/i><\/a><\/span><\/div>\n<nav><ul class=\"ez-toc-list\"><li><a href=\"#Yes_Bank_Financial_Information\" title=\"Yes Bank \u2013 Financial Information\">Yes Bank \u2013 Financial Information<\/a><\/li><li><a href=\"#Yes_Bank_FPO_Details\" title=\"Yes Bank FPO Details\">Yes Bank FPO Details<\/a><\/li><li><a href=\"#Risk_Factors_-_Things_to_Consider_Before_Investing_in_Yes_Bank_FPO\" title=\"Risk Factors - Things to\nConsider Before Investing in Yes Bank FPO\">Risk Factors - Things to\nConsider Before Investing in Yes Bank FPO<\/a><\/li><\/ul><\/nav><\/div>\n\n\n\n\n<h2 class=\"wp-block-heading\">Yes Bank \u2013 Financial Information<\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"\"><tbody><tr><td>\n  <strong>Particulars<\/strong>\n  <\/td><td>\n  <strong>Fiscal 2020<\/strong>\n  <\/td><td>\n  <strong>Fiscal 2019<\/strong>\n  <\/td><td>\n  <strong>Fiscal 2018<\/strong>\n  <strong>&nbsp;<\/strong>\n  <\/td><\/tr><tr><td>\n  <strong>Share capital<\/strong>\n  <\/td><td>\n  25,100.94\n  <\/td><td>\n  4,630.07\n  <\/td><td>\n  4,605.93\n  <\/td><\/tr><tr><td>\n  <strong>Net worth<\/strong>\n  <\/td><td>\n  216,949.60\n  <\/td><td>\n  268,874.10\n  <\/td><td>\n  257,525.07\n  <\/td><\/tr><tr><td>\n  <strong>Revenue<\/strong>\n  <\/td><td>\n  380,081.16\n  <\/td><td>\n  342,992.80\n  <\/td><td>\n  255,617.46\n  <\/td><\/tr><tr><td>\n  <strong>Profit after tax<\/strong>\n  <\/td><td>\n  (164,325.80)\n  <\/td><td>\n  17,092.66\n  <\/td><td>\n  42,332.20\n  <\/td><\/tr><tr><td>\n  <strong>Earnings per share (basic)<\/strong>\n  <\/td><td>\n  (56.11)\n  <\/td><td>\n  7.40\n  <\/td><td>\n  18.46\n  <\/td><\/tr><tr><td>\n  <strong>Net asset value per Equity Share<\/strong>\n  <\/td><td>\n  17.29\n  <\/td><td>\n  116.14\n  <\/td><td>\n  111.82\n  &nbsp;\n  <\/td><\/tr><tr><td>\n  <strong>Total borrowings<\/strong>\n  <\/td><td>\n  1,137,905.03\n  <\/td><td>\n  1,084,241.09\n  <\/td><td>\n  748,935.81\n  \n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">Yes Bank FPO Details<\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"\"><tbody><tr><td>\n  <strong>IPO Date<\/strong>\n  <\/td><td>\n  Jul\n  15, 2020 &#8211; Jul 17, 2020\n  <\/td><\/tr><tr><td>\n  <strong>Issue Type<\/strong>\n  <\/td><td>\n  Book\n  Built Issue FPO\n  <\/td><\/tr><tr><td>\n  <strong>Issue Size<\/strong>\n  <\/td><td>\n  [.]\n  Eq Shares of \u20b92 \n  (aggregating\n  up to \u20b915,000.00 Cr)\n  <\/td><\/tr><tr><td>\n  <strong>Fresh Issue<\/strong>\n  <\/td><td>\n  [.]\n  Eq Shares of \u20b92\n  (aggregating\n  up to \u20b915,000.00 Cr)\n  <\/td><\/tr><tr><td>\n  <strong>Face Value<\/strong>\n  <\/td><td>\n  \u20b92\n  per equity share\n  <\/td><\/tr><tr><td>\n  <strong>IPO Price<\/strong>\n  <\/td><td>\n  \u20b912\n  to \u20b913 per equity share\n  <\/td><\/tr><tr><td>\n  <strong>Employee Discount<\/strong>\n  <\/td><td>\n  \u20b91\n  per share\n  <\/td><\/tr><tr><td>\n  <strong>Market Lot<\/strong>\n  <\/td><td>\n  1000\n  Shares\n  <\/td><\/tr><tr><td>\n  <strong>Min Order Quantity<\/strong>\n  <\/td><td>\n  1000\n  Shares\n  <\/td><\/tr><tr><td>\n  <strong>Listing At<\/strong>\n  <\/td><td>\n  BSE,\n  NSE\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"\"><tbody><tr><td>\n  <strong>Bid\/Offer Opens On<\/strong>\n  <\/td><td>\n  Jul\n  15, 2020\n  <\/td><\/tr><tr><td>\n  <strong>Bid\/Offer Closes On<\/strong>\n  <\/td><td>\n  Jul\n  17, 2020\n  <\/td><\/tr><tr><td>\n  <strong>Finalisation of Basis of Allotment<\/strong>\n  <\/td><td>\n  Jul\n  22, 2020\n  <\/td><\/tr><tr><td>\n  <strong>Initiation of Refunds<\/strong>\n  <\/td><td>\n  Jul\n  23, 2020\n  <\/td><\/tr><tr><td>\n  <strong>Credit of Shares to Demat Acct<\/strong>\n  <\/td><td>\n  Jul\n  24, 2020\n  <\/td><\/tr><tr><td>\n  <strong>IPO Shares Listing Date<\/strong>\n  <\/td><td>\n  Jul\n  27, 2020\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"\"><tbody><tr><td>\n  <strong>Application<\/strong>\n  <\/td><td>\n  <strong>Lots<\/strong>\n  <\/td><td>\n  <strong>Shares<\/strong>\n  <\/td><td>\n  <strong>Amount (Cut-off)<\/strong>\n  <\/td><\/tr><tr><td>\n  <strong>Minimum<\/strong>\n  <\/td><td>\n  1\n  <\/td><td>\n  1000\n  <\/td><td>\n  \u20b913,000\n  <\/td><\/tr><tr><td>\n  <strong>Maximum<\/strong>\n  <\/td><td>\n  15\n  <\/td><td>\n  15000\n  <\/td><td>\n  \u20b9195,000\n  <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">Risk Factors &#8211; Things to\nConsider Before Investing in Yes Bank FPO<\/h2>\n\n\n\n<p>Yes Bank has grown into a \u2018Full-Service\nCommercial Bank\u2019 and providing a wide array of services and offerings while\nserving in the private sector. Due to recent norms and structural reforms within\nthe banking industry; and policy changes, including the relief package by the government\nto mitigate the COVID-19 impact, affects the banking industry including the\nprivate and public sector banks. <\/p>\n\n\n\n<p>Below we\u2019ve enlisted some of the key risk\nfactors that you must consider before investing in Yes Bank FPO:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>An increase in the portfolio of NPAs or NPIs, RBI-mandated provisioning requirements could adversely impact the financial performance of the bank. In the ongoing COVID-19 pandemic has impacted the customer base of the Yes Bank which could lead to the delinquency in loan repayments and other obligations, which, in turn, could result in a higher level of NPAs in the corporate and retail loan portfolio. <\/li><li>Similar to other banks, the Yes Bank is also subject to the periodic inspections by the Reserve Bank of India (RBI) under the Banking Regulation Act. If the bank fails to comply with, the bank could be subject to supervisory inspections and penalties which could adversely affect the bank\u2019s reputation, business, and financial condition. <\/li><li>The bank is exposed to the risk of significant deterioration in the overall performance of a particular sector driven by the events, not within the bank\u2019s control, and could increase the level of NPAs. So, in the course of business, the bank is exposed to loan concentrations w.r.t specific borrowers and corporate borrowers. If defaulted by them, it could lead to a situation which could adversely impact the business, operations, and financial conditions of the bank. <\/li><\/ul>\n\n\n\n<p>Apart from this, there are a lot of other risk\nfactors that one should go through before investing in Yes Bank FPO. To get\nmore information, one can go through the <strong><a href=\"http:\/\/www.investmentbank.kotak.com\/downloads\/yes-bank-limited-RHP.pdf\">red-herring\nprospectus<\/a> <\/strong>of Yes Bank IPO. Yes Bank\u2019s new management has emerged out\nwith the strategic objective to rebuild the bank and calibrate growth over the\nnext twelve months. In 2019-20, the Yes Bank reported a net loss of Rs.\n16,432.58 crore, hit by provisions that increased more than four-fold to Rs.\n28,312.49 crore during the year. <\/p>\n\n\n\n<p>Before Yes Bank FPO, the share price of Yes Bank has fallen over 21 percent. Opened with a loss of 3.62 percent today, the stock fell to 8.37 percent later in the session to the intraday low of Rs. 20.25 on BSE. <\/p>\n\n\n\n<p>The increased level of NPAs resulted in an increased in PCR and loss in results for FY20. Therefore, it would be recommendable to be prudent before investing in Yes Bank FPO especially during the times of pandemic. <\/p>\n<div class='epvc-post-count'><span class='epvc-eye'><\/span>  <span class=\"epvc-count\"> 4,026<\/span><\/div><div class=\"pld-like-dislike-wrap pld-template-1\">\n    <div class=\"pld-like-wrap  pld-common-wrap\">\n    <a href=\"javascript:void(0);\" class=\"pld-like-trigger pld-like-dislike-trigger \" title=\"\" data-post-id=\"519\" data-trigger-type=\"like\" data-restriction=\"ip\" data-ip-check=\"0\" data-user-check=\"1\">\n                        <i class=\"fas fa-thumbs-up\"><\/i>\n                    <\/a>\n    <span class=\"pld-like-count-wrap pld-count-wrap\">4    <\/span>\n<\/div><\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>On July 15, 2020, the private sector lender Yes Bank will launch its 15,000 crores follow-up public offering (FPO) with the objects of ensuring adequate [&hellip;] <span class=\"read-more-link\"><a class=\"read-more\" href=\"https:\/\/www.invest19.com\/blog\/yes-bank-fpo-opens-on-july-15-2020-should-you-invest-or-not\/\">Read More<\/a><\/span><\/p>\n","protected":false},"author":1,"featured_media":520,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[70,2,10],"tags":[151,153,154,155,156,157],"class_list":["post-519","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ipo","category-stock-market","category-featured","tag-yes-bank-fpo","tag-yes-bank-fpo-details","tag-yes-bank-fpo-issue-date","tag-yes-bank-fpo-price","tag-yes-bank-fpo-invest-or-not","tag-apply-for-yes-bank-fpo-online"],"_links":{"self":[{"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/posts\/519","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/comments?post=519"}],"version-history":[{"count":1,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/posts\/519\/revisions"}],"predecessor-version":[{"id":521,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/posts\/519\/revisions\/521"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/media\/520"}],"wp:attachment":[{"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/media?parent=519"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/categories?post=519"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.invest19.com\/blog\/wp-json\/wp\/v2\/tags?post=519"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}