Yes Bank to exit mutual fund business; inks agreement for sale of subsidiaries


PTI, Aug 21, 2020, 5:14 PM IST

New Delhi: Yes Bank on Friday said it will exit mutual fund business by selling its holdings in asset management and trustee subsidiaries.

The bank on August 21, 2020 executed a definitive agreement for the sale of 100 per cent of the equity shareholding of Yes Asset Management (India) Ltd (YESAMC) and Yes Trustee Ltd (YTL), both wholly-owned subsidiaries of Yes Bank to GPL Finance and Investments Ltd (purchaser), it said in a regulatory filing.

“White Oak Investment Management Private Limited owns 99 per cent of the purchaser. The ultimate beneficial holder of the purchaser is Prashant Khemka who owns 99.99 per cent of White Oak Investment Management Private Limited,” Yes Bank said.

The transaction is subject to requisite approvals from the regulatory authorities, the private sector lender said.

YESAMC is the asset management company of Yes Mutual Fund and YTL is the trustee of Yes Mutual Fund.

“Upon completion of the transaction, YESAMC and YTL will cease to be subsidiaries of the bank and the bank will exit its mutual fund business,” Yes Bank said.

The lender said it is expected to complete the sale of the subsidiaries in 8-12 months from execution of the definitive agreement.

The consideration to be received from the sale is undisclosed as it is to be determined on closing of the transaction, it added.

“The bank, presently, does not have any promoters,” it added.

Revenue contribution of YESAMC in FY20 was Rs 33 lakh (Rs 3.3 million) which is negligible as percentage. The net worth contribution of AMC arm during the year was Rs 49.7 crore (Rs 497 million) which is also negligible as percentage of the bank, the lender said.

Revenue and net worth contribution from YTL is nil, Yes Bank said.

GPL Finance and Investments Limited is NBFC (non-banking financial company) investment vehicle used for 100 per cent acquisition of YESAMC and YTL, it added further.

Shares of Yes Bank closed at Rs 15.57 apiece on BSE, down 1.21 per cent from the previous close.

Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.

Top News

Aircraft carrier Vikrant completes third sea trials, returns to Kochi harbour

Bihar ruling allies BJP, JD(U) spar over Emperor Asoka controversy

Clarify stand on marital rape criminalisation: Delhi HC tells Centre

Udupi Paryaya to be held without fanfare

Petrol, diesel sales fall in Jan as Omicron spreads

Mysuru: Six arrested for thrashing Dalit family for eating ‘panipuri’

JK admin takes back Kashmir Press Club premises, says it has ‘ceased to exist’


Related Articles More

Petrol, diesel sales fall in Jan as Omicron spreads

India’s overall economic activity remains strong, says RBI article

Govt reaps over Rs 6,600 cr as dividend from dozen CPSEs

Sebi overhauls preferential allotment rules

ICRA maintains volume demand growth estimate for FY22 at 13-15 pc

MUST WATCH

Night Curfew : Shops, stall will close before 10pm(jan 17)

NEWS BULLETIN 17-01-2022

THE HISTORY OF KRISHNAPURA MUTT SWAMIJI

DOCTOR BEATS UP A VEGETABLE VENDOR

Vidyasagara Teertha Swamiji Paryaya Message


Latest Additions

Aircraft carrier Vikrant completes third sea trials, returns to Kochi harbour

Bihar ruling allies BJP, JD(U) spar over Emperor Asoka controversy

Clarify stand on marital rape criminalisation: Delhi HC tells Centre

Udupi Paryaya to be held without fanfare

Petrol, diesel sales fall in Jan as Omicron spreads

Thanks for visiting Udayavani

You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.