Yes Bank Shares Soar on Debt Settlement: What’s Behind the Surge?
Yes Bank, a well-known Indian bank, has been making news of its remarkable stock market performance over the past two days. Its shares rose by a staggering 13% in just two trading days, piquing the interest of many investors who wondered what caused this unexpected rise.
The elation started on Monday when Yes Bank shares opened strongly in the morning. On the National Stock Exchange (NSE), they attained an intraday high of ₹18.60 per share quite rapidly. To put this in context, these shares were worth ₹16.80 just a few days ago.
What caused the rapid increase in demand for Yes Bank shares? A compelling backstory exists. The long-running financial issue involving Yes Bank, Subhash Chandra, and JC Flowers Asset Reconstruction Company (ARC) may have been resolved, according to reports that surfaced on Friday.
Yes Bank has a dedicated team to manage complex financial circumstances under the debt settlement program. This group, which is frequently referred to as an “asset restructuring arm,” came to an understanding. They ruled that Subhash Chandra would only have to pay back ₹1,500 crore rather than the hefty ₹6,500 crore. It is comparable to turning a large loan into a smaller one.
Subhash Chandra was ecstatic with this agreement. With the use of this arrangement, he was able to reclaim control over a number of important assets, including Dish TV, Zee Learn, and even an elegant residence in the center of Delhi. According to the agreement, he had to pay an initial deposit of 15% within the first 30 days and the remaining amount over the following six months.
Financial experts are very optimistic. They believe that this positive development could pave the way for more gains for Yes Bank. The trading volumes are telling a similar story. On that day, every Monday, an astounding 3.34 crore shares of Yes Bank, worth ₹61 crores, changed hands on BSE, while on NSE, a staggering 39.04 crore shares, valued at ₹714.55 crores, were traded by 10.30 am
The daily chart of Yes Bank displays a “bullish positive candle” following a brief period of consolidation for those who read stock charts. This is interpreted as a sign of hope, indicating that the stock may increase further.
What lies next for Yes Bank, then? The bank appears to be in a great situation, then. Investors are intrigued to get involved because they think Yes Bank’s future is great. The recent resolution of a significant financial problem has given the bank’s outlook more confidence.
‘Yes Bank Shares’ Article By Debanjana Talukdar
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