Rating hits Yes Bank shares
Shares of Yes Bank slumped nearly 12 per cent on Wednesday after Moody’s Investors Service downgraded the company’s ratings to non-investment grade and changed its outlook to negative from stable.
The stock fell 11.71 per cent to end at Rs 161.70 on the BSE. During intra-day trades, it declined 12.55 per cent to hit a 52-week low of Rs 160.15. Similarly, on the NSE, shares of the bank plunged 11.30 per cent to close at Rs 162.
The stock was the worst hit among the blue chips on both the key indices. The fall came even as the Sensex ended with gains of almost 204 points.
The selling pressure in the stock led to the lender’s market valuation dropping
Rs 4,909.72 crore to Rs 37,384.28 crore on the BSE. In terms of equity volume, 154.99 lakh shares of the company were traded on the BSE and over 14 crore shares changed hands on the NSE during the day.
A day after Moody’s downgraded Yes Bank, its domestic arm Icra followed suit by downgrading the bank’s long-term ratings.
“The rating downgrade considers the series of resignations from the board of directors, which raises concerns on corporate governance at the bank,” Icra said.
The agency had placed the bank on rating watch earlier this month.