The Reserve Bank of India(RBI) took control of the country's fifth-largest private sector lender Yes
Bank on Thursday March 05,2020 and imposed limits on withdrawals, spreading confusion
and fear among account holders.Shares of Yes Bank, which traded
at Rs 404 at its peak in August 2019, fell to a record low of Rs 5.65 on
Friday March 06,2020, with the stock plunging nearly 85 per cent. The fall wiped out
Rs 7,943 crore from Yes Bank's market value
November 27 - Moody's cuts bank's foreign currency issuer rating; changes outlook to 'negative' from 'stable' citing concerns over corporate governance
January 24, 2019 - Yes Bank hires the head of Deutsche Bank India Ravneet Gill as its new CEO
February 13 - Yes Bank says RBI observed no divergences from central bank norms in the bank's asset classification and provisioning
April 8 - Pressed for capital, Yes Bank says it will consider raising funds by issuing shares and debt securities
April 26 - Rising levels of bad loans trigger Yes Bank's first-ever quarterly loss; Macquarie Research double-downgrades stock to 'underperform', stock tanks 30 per cent on next trading day
May 14 - RBI appoints ex-central bank Deputy Governor R. Gandhi as additional director to Yes Bank's board - a rare move signalling an increased level of scrutiny on the lender
July 17 - Yes Bank reports 91 per cent drop in first-quarter profit, as provisions surge and asset quality deteriorates sharply; gross bad loan ratio stood at 5.01 per cent
September 10 - Yes Bank CEO Gill says lender is close to securing a deal to sell a minority stake to a global technology company to help boost its capital
October 3 - CEO Gill says bank is in talks with private equity firms, strategic investors and family offices to raise additional capital
October 31 - Yes Bank gets binding investment offer of $1.2 billion from global investor, sends stock 39 per cent higher
November 1 - Yes Bank reports bigger-than-expected loss for the second quarter, as bad loan ratio deteriorates to 7.39 per cent and provisions swell to Rs 1,336 crore
November 29 - Yes Bank says it aims to raise up to $2 billion in a massive issue of new shares to institutional investors and family offices; says it is in talks to sell shares worth $1.2 billion to Canadian investor Erwin Singh Braich and Hong Kong-based SPGP Holdings, which he backs
January 10, 2020 - Yes Bank rejects Braich's investment, says will launch a $1.4 billion share sale, after a board member's resignation casts more doubt on the lender's future
February 12 - The lender says it will delay disclosing its October-December earnings by at least a month, and that it was in talks with potential investors for a cash infusion
February 12 - Bank says it received non-binding expressions of interest from JC Flowers, Tilden Park Capital Management, OHA (UK) and Silver Point Capital.
March 5 - Government places Yes Bank under moratorium, with RBI taking over from its board for 30 days and imposing limits on withdrawals to protect depositors
A look at the events leading up to the Reserve Bank of India's move:
September 19, 2018 - RBI refuses to give Chief Executive Officer Rana Kapoor an extension to his term - Kapoor to step down by end of January 2019November 27 - Moody's cuts bank's foreign currency issuer rating; changes outlook to 'negative' from 'stable' citing concerns over corporate governance
January 24, 2019 - Yes Bank hires the head of Deutsche Bank India Ravneet Gill as its new CEO
February 13 - Yes Bank says RBI observed no divergences from central bank norms in the bank's asset classification and provisioning
April 8 - Pressed for capital, Yes Bank says it will consider raising funds by issuing shares and debt securities
April 26 - Rising levels of bad loans trigger Yes Bank's first-ever quarterly loss; Macquarie Research double-downgrades stock to 'underperform', stock tanks 30 per cent on next trading day
May 14 - RBI appoints ex-central bank Deputy Governor R. Gandhi as additional director to Yes Bank's board - a rare move signalling an increased level of scrutiny on the lender
July 17 - Yes Bank reports 91 per cent drop in first-quarter profit, as provisions surge and asset quality deteriorates sharply; gross bad loan ratio stood at 5.01 per cent
September 10 - Yes Bank CEO Gill says lender is close to securing a deal to sell a minority stake to a global technology company to help boost its capital
October 3 - CEO Gill says bank is in talks with private equity firms, strategic investors and family offices to raise additional capital
October 31 - Yes Bank gets binding investment offer of $1.2 billion from global investor, sends stock 39 per cent higher
November 1 - Yes Bank reports bigger-than-expected loss for the second quarter, as bad loan ratio deteriorates to 7.39 per cent and provisions swell to Rs 1,336 crore
November 29 - Yes Bank says it aims to raise up to $2 billion in a massive issue of new shares to institutional investors and family offices; says it is in talks to sell shares worth $1.2 billion to Canadian investor Erwin Singh Braich and Hong Kong-based SPGP Holdings, which he backs
January 10, 2020 - Yes Bank rejects Braich's investment, says will launch a $1.4 billion share sale, after a board member's resignation casts more doubt on the lender's future
February 12 - The lender says it will delay disclosing its October-December earnings by at least a month, and that it was in talks with potential investors for a cash infusion
February 12 - Bank says it received non-binding expressions of interest from JC Flowers, Tilden Park Capital Management, OHA (UK) and Silver Point Capital.
March 5 - Government places Yes Bank under moratorium, with RBI taking over from its board for 30 days and imposing limits on withdrawals to protect depositors
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