YES Bank share price falls to fresh 52-week low despite lender's plan to raise funds

YES Bank share price fell for the second straight day even after the private lender said it has received strong interest from investors for raising capital. YES Bank stock fell to its fresh 52-week low and was among the top Sensex losers in an otherwise rising market today. The mid cap stock fell up to 5.31% to Rs 50.85 on BSE.

"The bank has received strong interest from multiple foreign as well as domestic private equity and strategic investors for this capital raise and remains firmly on course to raising growth capital subject to the necessary approvals, " the bank said.

Also read: CARE downgrades Rana Kapoor-owned Morgan Credits

The lender added it has applied to the Reserve Bank of India (RBI) asking for a nod to increase the bank's authorised share capital.

However, the stock has been under pressure for the last one year due to several negative developments for the private lender. YES Bank share price has lost 76.66% during last one year and fallen 71.28% since the beginning of this year.

On September 19, 2019, CARE Ratings downgraded ratings of non-convertible debentures (NCDs) of Rana Kapoor-owned Morgan Credits Private Limited, which is also a promoter entity of the private sector lender. YES Bank share price lost up to 17% that day to Rs 53.05 compared to the previous close of Rs 64.10 on BSE.

On August 28, 2019 , Global rating agency Moody's Investors Service downgraded YES Bank's long-term foreign-currency issuer rating to Ba3 from Ba1 and maintained 'negative' outlook with concerns over lower than expected amount of capital raised by the bank. Weighed down by the development, YES Bank share price fell as much as 9.72% to Rs 58.05 apiece in intra-day trade that day.

Also read: Rana Kapoor, other promoters stare at losing YES Bank control post equity dilution

Edited by Aseem Thapliyal