Shares of YES Bank closed 1.2 per cent lower at Rs 15.57 on the BSE on Friday after the bank said it has signed an agreement for the sale of 100 per cent stake in two of its subsidaries, YES Asset Management Limited (YES AMC) and YES Trustee Limited (YTL), to GPL Finance for an undisclosed amount.
YES AMC is the asset management company of YES Mutual Fund and YTL is the trustee of YES Mutual Fund.
“The Bank has executed a definitive agreement for the sale of 100% of the equity shareholding of YES Asset Management (India) Limited (“YESAMC”) and YES Trustee Limited (“YTL”), both wholly owned subsidiaries of YES Bank Limited (the “Bank”) to GPL Finance and Investments Limited (“Purchaser”),” YES Bank said in an exchange filing.
White Oak Investment Management Private Limited owns 99 per cent of the purchaser, GPL Finance, and the ultimate beneficial holder of the purchaser is Prashant Khemka who owns 99.99 per cent of White Oak Investment Management Private Limited, the filing said.
YES Bank expects the sale to be completed within the next 8-12 months. The deal amount is undisclosed, with the bank saying that the same is “to be determined on closing of the transaction”.
Upon completion of the transaction, YES AMC and YTL will cease to be subsidiaries of YES Bank, which will exit its mutual fund business.
The stock hit an intra-day low of Rs 15.32 and high of Rs 16.10 on the BSE. Around 17.4 crore shares changed hands on the NSE and BSE, combined.