Mystery around Yes Bank’s future fails to die down…
Over last few months everyone including investors, analysts, consumers and competitors are equally confused as to the future of Yes Bank. Lender’s capital raising plan is also passing through uncertainties and there are speculations on whether Yes Bank is an acquisition target, which has been denied by it’s management.
Now at Times Network’s India Economic Conclave in Mumbai, two top Indian bankers has said the following –
- SBI chairman Rajnish Kumar -“I think Uday (Kotak) is the best candidate to acquire Yes bank. You need deep pockets, Uday has that”.
- Axis Bank’s Managing Director and CEO Amitabh Chaudhry – “We are a smaller bank. We are trying to ensure that we grow big so that at some stage we can acquire others. So, yes Mr Kotak, they are best suited rather than us”.
It’s worth noting here that in the past Axis and Kotak both have been speculated as the potential suitors for Yes Bank.
Besides, one should also consider that Mr Kotak is also required to dilute promoter stake in Kotak Mahindra Bank to meet the regulatory requirements. There is ongoing tussle happening between Mr Kotak and RBI on the same. Acquisition of Yes Bank can potentially also help him on this
Kotak Mahindra Bank acquiring Yes Bank was a strong rumor 6-7 months back as well. It has been re mentioned now by two top bankers. Let’s wait and watch if it actually happens. Personally I will be surprised if it does !