SBI rules out merger with crisis-hit Yes Bank
SBI chairman Rajnish Kumar on Saturday said that there is no question of a merger with the Yes Bank, as it is evaluating the restructuring draft scheme of the crisis-hit bank. India's largest public sector bank SBI said it has received a plan which is being studied by its legal team. SBI chairman further mentioned that bank's board has given in-principle approval of exploring the possibility of picking up a stake of up to 49% in the crisis-hit bank.
During the presser, SBI chairman said they will try to implement the restructuring plan before RBI's deadline is over, however, whether it will 49% or 26%, this is something that will depend on amount of funds required.
"There is no question of a merger of the bank with the state-run bank," SBI said amid Yes Bank crisis, according to the Economic Times.
Meanwhile, SBI chairman said, "There are many potential investors who have approached us after seeing the scheme of reconstruction for Yes Bank. Our investment and legal teams are looking into the draft scheme of reconstruction for Yes Bank."
"The total quantum of investment in Yes Bank is at Rs 2,450 crore, said SBI chairman assuring that depositors’ money is not at risk at all," SBI chairman added.