Reportedly Yes Bank has announced that its Group President Rajat Monga has resigned. Monga was also the former Chief Financial Officer at the bank. Meanwhile the announcement came during a conference call that the CEO of the Yes Bank Group, Ravneet Gill had. Furthermore the Yes Bank stock started quoting higher on the bourses and gained as much as 25% one of the highest single day jump for the stock in quite a while.
Further as reported earlier, there have been reports over the past few weeks of shares from the promoters’ quota being offloaded in the market. Perhaps Morgan Credits Pvt Ltd, a firm owned by rana Kapoor, the founder and ex-Chairman of Yes Bank, sold 2.3% shares followed by an additional 1.82% by Yes Capital (India) Pvt. Ltd. Meanwhile markets react negatively to such offloading of equity by promoters in any company and it is seen as a reflection of their losing confidence in the company.
Moreover the moment the information on these transactions were in the public domain, the share price dropped by close to 23%. Apparently the outgoing President, Rajat Monga himself had sold 14.11 lakh shares last month, it is learnt. Currently Yes Bank is in the process of regrouping and restructuring following the exit of rana Kapoor as RBI declined an extension to his tenure at the helm and Ravneet Gill is steering the activities as the CEO.
