New Delhi: While the SBI has shown interest in investing in troubled private sector lender Yes Bank, the acquirer could hold upto 49 per cent stake in the bank, as per a scheme of reconstruction proposed by the RBI on Friday.
The draft plan has come a day after the banking regulator superseded Yes Bank board and appointed an administrator.
The Reserve Bank of India's draft plan has said that Yes Bank's new share capital will be Rs 5,000 crore with 2,450 crore equity shares of Rs 2 each.
As per the plan placed in the public domain for comments, the investor bank would be required to invest in the equity of reconstructed Yes Bank to the extent that post infusion it holds 49 per cent shareholding in the bank at a price not less than Rs 10 (face value of Rs 2) and premium of Rs 8.
This means that the SBI will need to pay about Rs 11,760 crore for taking 49 per cent stake in the restructured Yes Bank.
The RBI has said that the investor bank shall not reduce its holding below 26 per cent before completion of three years from the date of infusion of the capital.
Industry insiders said that SBI will hold 49 per cent of the equity to avoid the private bank becoming a PSU bank.
The draft scheme provides for appointment of two nominee directors by the investor on the Board of the Reconstructed Bank.
"Reserve Bank of India may appoint Additional Directors in exercise of the powers conferred by sub-section (1) of Section 36AB of the Banking Regulation Act, 1949," the RBI plan said.
Further, Yes Bank employees will continue to work under the same remuneration and on the same terms and conditions of services as before for at least a period of one year.
The Board of Directors of the reconstructed bank will, however, have the freedom to discontinue the services of the key managerial personnel (KMPs) at any point of time after following the due procedure.