Ajay Mahajan in Calcutta on Friday. A Telegraph picture

Calcutta, June 10: Rabobank International Holding will participate in Yes Bank’s IPO and buy shares from the market to maintain its present 20 per cent stake in the bank.

After the issue, the holding of Rabobank International, a promoter of Yes Bank, will come down to 14.8 per cent from 20 per cent. Rabobank had sought approval from the Reserve Bank of India to maintain its current shareholding level in the post-issue equity capital. The Reserve Bank has allowed Rabobank International Holding to apply for shares in the issue and buy from the market subsequently.

The Yes Bank IPO opens on June 15 and closes on June 21. The bank is offering 70 million shares of Rs 10 each at a premium. The price band for the issue has been fixed between Rs 38 and Rs 45.

The two promoters of the bank ? Rana Kapoor and Ashok Kapur ? hold a 52 per cent stake in the bank. The senior management of the bank holds another 3 per cent. Rabobank International Holding has a 20 per cent stake and the rest is held by Chryscapital, Citi Corp and AIF Capital.

Ajay Mahajan, president (financial markets and private banking), said the bank has received 30 licences from the RBI for opening branches. Yes Bank currently has two branches ? one in Delhi and the other in Mumbai.

“We will open the branches by March 2006,” said Mahajan.

“The bank will focus on domestic business and will not go abroad immediately,” added Mahajan.