Rating agency Moody's on Monday upgraded ratings of the troubled lender with a positive outlook, as its capital position evolves.
On Monday, Yes Bank announced that seven banks led by State Bank of India (SBI) have invested Rs 10,000 crore, boosting its core capital. Shortly after the announcement, Reserve Bank Governor Shaktikanta Das said the central bank would give additional capital support to the crippled lender if necessary.
«We today upgraded Yes Bank long-term foreign-currency issuer and foreign currency senior unsecured MTN program ratings to Caa1 from Caa3 and (P)Caa1 from (P)Caa3 respectively,» said Moody's Investors Service said in a late evening statement.
Under Administration
The change in the lender's capital position has led Moody's to upgrade the outlook of the bank, which means that its credit outlook has also been changed to positive from negative. The central bank had superseded Yes Bank board on April 5 and placed it under an administrator.
Meanwhile, India's Enforcement Directorate (ED) has issued summons to a clutch of borrowers of YES Bank, according to a report in «Business-Standard». They include Essel Group Chairman Subhash Chandra, Jet Airways founder Naresh Goyal, Cox & Kings promoter Peter Kerkar, Dewan Housing Finance promoter Kapil Wadhawan, and a few more related to the money laundering probe against YES Bank co-founder Rana Kapoor.
