RBI scans a SMBC plan to get a share of 24.99 % in yes bank

The Bank of Sector, Bank, announced on Saturday that the Indian Reserve Bank (RBI) has granted approval to Sumitomo Mitsui Banking Corporation (SMBC) to obtain up to 24.99 % of its paid -up capital and vote. It is worth noting that RBI made it clear that SMBC will not be classified as a blessing of a bank yes after the acquisition.

Development was shared by Yes Bank through an organizational file, adding that approval will remain valid for one year from August 22, 2025. The acquisition is linked to the SMBC plan to increase its share in Yes Bank to 20 % through a secondary purchase.

The proposed deal includes a 13.19 % share that will be purchased from the State Bank in India, along with another 6.81 % obtained from seven other shareholders – Panuhan Bank, Federal Bank, HDFC Bank, ICICI, IDFC First Bank and Kotak Mahindra.

“Yes, it was revealed earlier in a bank on May 9, 2025, its plan for Sumitomo Mitsui Banking Corporation (” SMBC “) to obtain a 20 % contribution through a secondary purchase of 13.19 % of the State Bank Ltd., IDFC Limited, IDFC First MAH First First MAH. ((Treatment) Suggested “),” Read the file.

The bank also stated that any subsequent subsequent purchases will remain subject to RBI terms and regulatory permits.

The completion of the transaction also ends when obtaining a gesture from the Competition Committee in India (CCI) and meeting the usual conditions described in the agreements announced in May 2025.

SMBC, a fully owned unit of the Sumitomo Mitsui Financial Group (SMFG), announced earlier that its intention is to purchase a 20 % stake of Yes to 13,482 rupees. This is the largest cross -border investment in the banking sector in India. SMFG is the second largest banking group in Japan, and it runs the assets of $ 2 trillion as of December 2024. In July, Reuters reported that SMBC also requested an approval to raise its share by an additional 4.9 %.

RBI also explained that the SMBC acquisition will not change yes bank position, because the lender does not have promoters and is still fully owned by public shareholders. The bank emphasized that the transaction “is subject to the approval of CCI and the previous customary conditions under the agreements referred to in the disclosure of May 9.”

On Friday, the Yes Bank shares closed 0.8 % at 19.28 rupees on the south of the cows.

Analysts suggest that the deal can open doors for extensively similar investment in Indian banks. As Fitch Ratings, foreign investment rules in India have limited voting rights to banks to 26 % and the risk of financial institutions to 15 %, restrictions that have previously been inhibited such deals.