JC Flowers Deal Bears Fruit: YES Bank Reaps ₹820 Million Reward

YES Bank Ltd announced today that a single trust in its Security Receipts Portfolio has paid about ₹820 million as a redemption amount. The huge redemption is related to the bank's earlier sale of Non-Performing Asset (NPA) portfolio to JC Flowers Asset Reconstruction Company (ARC) on December 17, 2022. The bank pointed out that as per the materiality threshold defined under listing regulations, the said amount would merit disclosure. This development comes amidst YES Bank's ongoing efforts to smoothen its NPA portfolio and enhance financial health. The bank is in the process of bringing down its gross NPAs, which, as of September 2023, stand at ₹4,319 crore as compared to ₹27,419 crore a year back. This latest redemption is anticipated to further boost YES Bank's balance sheet and recovery strategy. The redemption is in alignment with the bank's objective of restructuring its loan portfolio and overall asset quality. 

 

Source: Yes Bank Ltd. Regulatory Filing