Mumbai: YES bank raises Rs 37 crore through IPO Certificate of Deposit After rescue plan launched by central bank lifted investor confidence in LenderThree people who knew the matter directly told ET.

This is likely to pave the way for the bank's future fund As the lender prepares to begin a new situation under new management, we have increased our plans.

"The bank raised funds collectively within two days (Thursday and Friday)," said one of the aforementioned people.

It is said that three to four large public sector have purchased money market instruments for about six months. These CDs may provide an average of about 8.25%.

Yes, the bank did not reply to ET's email inquiry on this matter.

After the Reserve Bank of India (RBI) invested Rs. 37.4 crore to promote liquidity, the bank may not be taking advantage of lower money market rates. CD pricing agreements are usually signed the day before any transaction is executed on the primary market.

ET cannot independently verify the names of those subscribing banks.

Rating company ICRA upgraded Yes Bank CD's rating from "D" to A4 + or set it to default by default last Tuesday. It indicates that this level is several lower than the level A1 +.

In a press release issued on March 24, the rating company said: "The rating upgrade is a factor that lifts the moratorium from March 18, 2020, which was previously implemented by the central government on Yes Bank, thereby restricting access to its depositors and Creditor payments. ".

The Reserve Bank of India also approved the bank's reconstruction plan, according to which Yes Bank received a Rs 10 crore from the National Bank of India and currently holds a 48.2% in the National Bank of India and other domestic financial institutions.

Yes the bank will raise up to Rs. After a surge in non-performing loans eroded its capital base, the company's stock sales rebounded to normal levels, buying back 50 shares. The bank said Thursday that it will later decide on the nature of the securities and conduct one or more financings in installments to improve its capital buffer. It did not disclose when the stock sale was completed.

As the debt fell from Rs. 2.09 crore in September to Rs. 1.37 crore in March, the bank has withdrawn a large number of deposits in the past five months, which forced the Reserve Bank of India to suspend it.

ICRA said: "In the short to medium term, the bank's ability to deposit privileges and reduce its reliance on wholesale funds is critical to maintaining its scale."

In the past few weeks, Reserve Bank of India Governor Shaktikanta Das has assured depositors that all private sector banks can safely deposit their deposits.

Yes, BSE Bankex fell about a percentage point last Friday, when the industry barometer rose by the same amount. It was the bank's share that closed at Rs. 26.40, compared to Rs. 26.65 on Thursday.

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