Mutual Fund

Equal rights sticking point in YES Bank promoters’ talks to end conflict

The two promoter groups of private lender YES Bank are in talks to end their long-drawn conflict and draft consent terms are being discussed but a deal is still some time away. The sticking point still seems to be ensuring equal rights and representation said sources in know of the development. The discussions are a work in progress and both parties have put forth their wish lists. The articles (of association) state equal rights and our wish is simply that those be upheld, said a source close to co-promoter Madhu Kapur. Sources close to rival co-promoter and MD and CEO Rana Kapoor told PTI that settlement talks were at an advanced stage with draft consent terms under discussion. The draft, he said, spoke of recognising both the groups as equals. Rana Kapoor and his family owned 10.64 per cent in the bank as of September, while Madhu Kapur held 9.27 per cent, according to a BSE filing. If the peace proposal goes through, the two promoter groups will jointly recommend the successor to Kapoor and non-executive chairman subject to the board and regulatory approval.

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