Yes Bank on Tuesday rushed in to do some damage control after media reports said that Canadian investor Erwin Singh Braich’s $1.2 billion investment offer may be rejected, and another one which said that billionaire Rakesh Jhunjhunwala too was having second thoughts on his offer of $25 million.
The board of Yes Bank said on Tuesday that the “binding offer of $1.2 billion submitted by Erwin Singh Braich / SPGP Holdings continues to be under discussion.” Not only this, the bank is smiling on another offer of $500 million investment by Citax Holdings and Investment Group. “The Board is willing to favourably consider the offer of US$500 Million of Citax Holdings and Citax Investment Group and the final decision regarding allotment to follow in the next board meeting, subject to requisite regulatory approval(s,” Yes Bank said in a statement to the exchanges.
Last week, Yes Bank had announced plans to raise up to $2 billion from domestic and global investors. Erwin Singh Braich had expressed interest to invest up to $1.2 billion in the bank.
Family office of Citax Holdings Ltd & Citax Investment Group were looking to put in $500 million in the bank. Aditya Birla Family Office and GMR Group and Associates had also expressed their interest to invest $50 million each. A Top Tier US Fund House– Capital International has also shown interest to invest around $120 million in the lender. Discovery Capital ($ 50 million), and Ward Ferry ($30 million) were also among interested investors. Apart from these, ace investor Rakesh Jhunjhunwala’s wife Rekha Jhunjhunwala’s has also expressed interest to invest up to $25 million in the bank.
