Yes, the bank's shares recover, close almost 4 pcs more

New Delhi, Sep 20 () Yes The bank's shares recovered on Friday and closed almost 4 percent higher after one of the company's promoting entities sold a portion of its stake.

The script, however, cut most of its initial earnings and closed at Rs 55.45, a 2.40 percent increase in BSE. During the day, it increased 10.61 percent to Rs 59.90.

In the NSE, it rose 3.69 percent to close at Rs 56.10.

In terms of the volume traded, 259.92 lakh shares were traded in the BSE and more than Rs 39 million in the NSE during the day.

Morgan Credits Private Limited (MCPL), a firm of the Yes Bank promoter group, said Thursday that it has sold a 2.3 percent stake in the private sector lender.

The proceeds will be used only to pay in advance a substantial part of the outstanding non-convertible (NCD) obligations of MCPL signed by various Reliance Nippon Life Asset Management Company (RNAM) schemes, the company said in a regulatory document.

Morgan Credits in April 2018 had placed, coupon zero, NCDs worth Rsam 1,160 million rupees with RNAM (the only loan from MCPL), he said.

Meanwhile, in a presentation to the BSE on Friday morning, the company said that, as has been publicly revealed, one of Yes Bank's promoting entities sold a portion of its stake yesterday (Thursday). This sale was made solely to eliminate the indebtedness of this entity.

Yes Bank's board of directors would like to state that the bank's financial position is strong and stable, its operational performance remains robust and its growth plans are well on track, he added. Yes Bank shares fell almost 16 percent on Thursday after a Moody's report said Altico's default could be negative for banks due to its significant exposure to the real estate sector. SUM SHW SHW