Yes Bank denies window dressing of corporate accounts to hide non-performing assets; shares fall 10%
Shares of Yes Bank came under massive selling pressure on Thursday, tumbling by over 9 percent and wiping out Rs 4,642 crore from its market valuation.
Mumbai: Private sector lender Yes Bank on Thursday said it has not indulged in any window dressing of its corporate accounts to conceal non-performing assets (NPAs).
The bank had reported a gross and net NPA of 1.3 percent and 0.59 percent respectively as on 30 June, 2018. The bank said the NPA figures are "among the finest in the Indian banking industry".
"The bank has not entered into any transactions with the intent to do any window dressing of corporate accounts to conceal NPA status," Yes Bank said in response to a query by the National Stock Exchange if the bank had indulged in window dressing to hide bad loans.
The RBI recently curtailed the tenure of Yes Bank's founder and CEO Rana Kapoor till January 2019.
Meanwhile, shares of Yes Bank came under massive selling pressure on Thursday, tumbling by over 9 percent and wiping out Rs 4,642 crore from its market valuation.
The stock dived 9.14 percent to end at Rs 203.20 on BSE. Intra-day, it slumped 9.68 percent to Rs 202.
At NSE, shares of the company plunged 9.16 percent to close at Rs 203.25.
The company's market valuation fell by Rs 4,642.47 crore to Rs 46,924.53 crore on BSE.
The stock was the worst hit among the blue-chips on both the key indices.
In terms of equity volume, 57.98 lakh shares of the company were traded on BSE and over 9 crore shares changed hands at NSE during the day.
Shares of Yes Bank rose by nearly 2 percent on Wednesday, a day after the company's board decided to seek at least a three-month extension from RBI for its MD and CEO Rana Kapoor beyond 31 January, 2019.
The RBI had last week curtailed the three-year term that the board had sought for Kapoor, also one of the promoters of the bank, to 31 January, 2019, and asked the bank to find a replacement.