Yes Bank Ltd. TUMBLE 17 PERCENT IN TWO DAYS

Yes Bank shares fell 2%, extending their two-day decline to 17% after the Supreme Court overturned the bank’s decision to write off ₹8,415 crore worth of additional tier-1 (AT-1) bonds during its 2020 rescue. The bank said on Friday that the reinstatement of the previously written-off bonds is expected to reduce its core capital ratio by around 250 basis points. However, Yes Bank’s Tier-1 capital ratio would remain unchanged at 14% on a pro forma basis. S&P Global Ratings said it does not expect the Supreme Court’s ruling to affect the bank’s credit ratings, although the decision could weigh on future earnings. According to S&P, Yes Bank’s regulatory capital remains adequate, with its common equity Tier-1 ratio of 13.87% at the end of March 2026 providing sufficient headroom to absorb the anticipated 250-basis-point impact while remaining well above the regulatory minimum of 5.5%. S&P added that the estimated ₹8,400-crore impact on common equity would be largely offset by the reinstatement of the bonds, allowing the bank’s credit profile to withstand the ruling. On Thursday, the Supreme Court set aside the administrator’s decision to write off ₹8,415 crore worth of AT-1 bonds as part of Yes Bank’s 2020 reconstruction scheme. The court ruled that the administrator lacked the authority to write down the bonds because the reconstruction scheme did not contain a specific provision permitting such action.