2. INTRODUCTION
• YES BANK is a full service commercial bank
that offers Corporate banking, investment
banking, and personal banking services across
India.
• Indias new age private sector bank,is a state-of-
art high quality,customer-centric,service-driven
bank catering to the “Future businesses of
India.”
• Promoter and founder-Dr.Rana Kapoor and his
top management team.
3. • India’s fourth largest private sector bank (by
balance sheet dated March 31,2012)
• Yes bank has a widespread branch network of
over 380 branches across 275 cities,with
650+ ATMs and 2 national operating centres
in Mumbai and Gurgaon.
• Vision of “Building the Best Quality bank of
the World in India by 2015.”
4. HISTORY
Yes bank is one of the biggest private
sector bank in india .
Yes bank ltd. Was incorporated
by Mr. rana kapoor (NOV 21,2003)
The bank obtained their
certificate of commencement
of business on january 21,2004.
5. • In June 2005, they came out with the public
issue and their shares were listed on the
stock exchanges.
• In the year 2006, the Bank received Financial
Express Awards for India's Best Banks.
•
• In April 2007, they made a tie-up with the
Agriculture Insurance Company of India (AIC).
6. • The Bank was ranked as the No 1 Bank in the
Business Today-KPMG Best Banks Annual
Survey, 2008.
• During the year 2008-09, the Bank opened 50
new branches and 18 new off-site ATMs.
• During the year 2009-10, the Bank opened 33
new branches. They opened 64 Branches
during the year 2010-11.
• As of March 31, 2011, they operated 214
branches across 164 cities in India, and
approximately 250 ATM’s.
7. Pioneering increase rate of interest
in saving bank account
• Recently when the RBI deregulated the savings
bank deposit rate, Kapoor was the first to make a
move. Within a few hours of the RBI move, Kapoor
announced that YES Bank was increasing its
savings deposit rate by 200 basis points to 6%. In
the first quarter review of the monetary policy, the
RBI had left all key policy rates unchanged to
support the Rupee to stay stable. The repurchase,
or the repo rate, the interest that commercial banks
pay to the RBI on short-term borrowings, has been
left unchanged at 7.25 percent, and so has the
reverse repo rate at 6.25
8. • percent.The cash reserve ratio (CRR), or the share of
deposits banks must keep with the central bank, is also
maintained at 4 percent. Earlier this month, the central
bank had taken a number of measures to squeeze
liquidity out of the banking system, in order to ensure
stability in the currency markets.YES Bank has become
a successful private sector bank after beginning
operations in 2003. Net profit grew 33.10% in 2012-13
compared with 34.40% in 2011-12 and 52.20% in 2010-
11.
9. Dispute between promoters family over
seat in management
• There wasn’t much of an inkling about the battle that had been
brewing at Yes Bank Ltd between its two largest promoter
shareholders—managing director and chief executive officer Rana
Kapoor and sister-in-law Madhu Kapur“This has resulted in
significant stock volatility in the last few sessions. The Kapurs do not
have a nominee director on the board.The lawyer representing
Madhu Kapur in the court proceedings had argued against the
articles of association of the bank and the fact that the bank
management had not consulted with the main shareholder on the
appointments.A person familiar with the development said after the
rejection, the family of the late Kapur did not seek a role in the
administration of the bank for more than three years. But a few days
before the shareholders' meet, they raised the issue of nomination to
the board, the person said on condition of anonymity.Since there was
not much time between the raising of the demand and the
shareholders' meet, the bank assured them that it would be
considered at the next board meet, the person added.
10. Facilities provided by Yes Bank
• Business Loans for Small and Medium Enterprises
• Cash Credit/ Over Draft- A Cash Credit is a short-term
cash loan to a company and YES BANK provides it
against collateralized security. Loan limit is pre-arranged
and companies can continuously draw up to the limit as
and when needed.
• Working Capital Demand Loans- YES BANK provides
working capital facilities in the form of Working Capital
Demand Loan instead of cash credit facility. The
primary or collateral security will be as mentioned in
cash credit facility. Here also interest is levied on the
amount drawn rather than on the amount utilized.
11. • Export Finance- YES BANK provides finance for export
activities in the form of Pre-Shipment Credit against firm
order and or Letter of Credit and Post shipment credit.
Credit is available for procuring raw materials,
manufacturing the goods, processing and packaging the
goods and shipping the goods. Finance is provided in
Indian or foreign currency depending upon the need of
the borrower.
• Bank Guarantees- YES BANK provides Bank
Guarantee on behalf of our client to various other entities
such as Government, quasi Govt bodies, corporate and
so on. A range of guarantees are provided such as
Performance guarantee, financial guarantee, EPCG etc.
12. What is a share price?
A share price is the price of a single share of a
number of saleable stocks of a
company, derivative or other financial asset.
How is it determined?
When a company goes public though an initial
public offering (IPO), an investment bank evaluates
the company's current and projected performance
and health . Once trading starts, share prices are
largely determined by the forces of supply and
demand.
16. • The bank’s “Financial & Investor Strategy” team,
whatever this means, sent a mailer to all its
“valued” shareholders stating, “Despite the
recent correction in the stock, leading brokerage
houses have maintained their positive outlook
on the stock with a strong expected growth
outlook in earnings and profits.” It pointed out
that “leading brokerage firms” like of Morgan
Stanley and Goldman Sachs attached “BUY”
recommendations.
17. •The Initial Public Offering of Yes Bank opened on
June 15, 2005.
•Total issue was worth Rs 31,500 lakhs at a price of Rs
45 per share.
•An individual who makes an application as a High Net
worth Individual has less chances of allotment.
•But if the same individual uses the same money to
make multiple applications through BENAMI accounts,
the chances of allotment rise atleast five times.
•Thirteen individuals opened many DEMAT accounts
and made applications through BENAMI accounts to
increase their chances of allotment.
18. • Rupalben Panchal and Sugandh Estates and Investments Pvt.
Ltd were the biggest players of this scam.
• Rupalben made 6,315 applications through bogus Bank and
Demat Acs and an allotment of 9,47,250 shares was made to
her.
• Sugandh Estates made1,315 applications through bogus Bank
and Demat Acs and an allotment of 1,97,250 shares was made
to it.
• They then transferred these shares to financers, who sold
them on the first day of listing, making windfall gains from the
price difference between the IPO price and the listing price.
• The scam was detected in 2012 when the SEBI started a
broad investigation into IPO allotments after it detected
irregularities in the buying of shares of YES Bank’s IPO in 2005.
19. CONCLUSION
• The sustained growth of Yes Bank is based on
the key pillars of Growth, Trust, Technology,
Human Capital, Transparency and
Responsible Banking.
• Yes Bank has a knowledge driven approach
towards banking , and a superior customer
experience for its retail, corporate and emerging
corporate banking clients.
