Yes Bank: Spin-off gains

STOCKS IN THE NEWS

Yes Bank shares gained 13.54 per cent last week to close at Rs 184.95 on the BSE on its entry into the F&O club and on reports that it would spin off its investment banking division into a wholly owned subsidiary.

The stock got a boost from the National Stock Exchange of India's (NSE) decision, announced after the trading hours on Thursday (August 30), to include the stock in the futures and options (F&O) segment from September 6.

According to reports, the bank has decided to spin off its investment banking division into a wholly owned subsidiary. The move is aimed at reflecting the robust growth achieved by the division in clinching deals in the private equity syndication, mergers and acquisitions and initial public offerings. The bank is also planning to foray into institutional broking and other related businesses under the new subsidiary, reports suggest.

Yes Bank's net profit rose 113.3 per cent to Rs 36 crore on a 169.3 per cent rise in operating income to Rs 348.49 crore in the first quarter ended June 30. The private sector bank provides treasury, banking and other services to large corporate and institutional clients, small and medium-sized businesses and retail customers.