Madhu Kapur Group Gives Up Promoter Shareholding In Yes Bank

The Madhu Kapur group, including Madhu Ashok Kapur, Shagun Kapur Gogia, Gaurav Ashok Kapur and Mags Finvest Private Limited, have decided to give up their status as Yes Bank promoters and agreed to be categorised as non-promoter or public shareholders, Yes Bank said in a filing to the stock exchanges late on Saturday. "The Bank would take further necessary action to give effect to the above," Yes Bank added.

As per BSE data, Ms Madhu Kapur held 1.12 per cent stake in Yes Bank and Mags Finvest Private Limited held 0.30 per cent as on March 31, 2020. 

The move by Kapur family comes almost three months after a State Bank of India-led equity consortium (formed with six other lenders) bailed out Yes Bank through a Rs 10,000 crore capital infusion at the government's behest, which resulted in a majority stake going to SBI (48.21 per cent) and other financial institutions, including a number of private banks.

Yes Bank was co-founded by Rana Kapoor along with Ms Kapur's late husband Ashok Kapur in 2004. The Kapoor and Kapur families are related.

Mr Kapoor and his family members are currently under the custody of Enforcement Directorate (ED), following alleged charges of corruption and financial mismanagement among others, which also led to the ouster of Mr Kapoor from the board of Yes Bank.

On Friday, the Yes Bank shares ended at Rs 26.85 apiece, declining by more than half a per cent, after hitting the lower circuit in intra-day trade.