Analysts welcome Yes Bank's $1.1b capital raise from Carlyle, Advent, but warn of challenges

Photo: Reuters

Indian private lender Yes Bank‘s $1.1 billion capital raise will help strengthen its balance sheet and provide it with growth capital, but it may not be an easy road ahead for the bank as the focus shifts to accelerating growth, say analysts.

On Friday Yes Bank announced that it is selling up to a 10% stake to US private equity firms Carlyle Group Inc and Advent International for $1.1 billion. Buoyed by the news, the stock hit its highest in nearly four months in early trade on Monday.

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