The combination relates to SMBC’s plan to increase its holding in the private sector lender, a move aligned with regulatory clearances.
Earlier on August 23, Yes Bank announced that SMBC had secured approval from the Reserve Bank of India (RBI) to raise its shareholding up to 24.99%.
The Japanese bank currently holds a 20% stake in Yes Bank, acquired in May 2025 through a secondary purchase. This included a 13.19% stake from State Bank of India (SBI) and a combined 6.81% from seven other domestic banks including Axis Bank, HDFC Bank, ICICI Bank, and Kotak Mahindra Bank.
The RBI’s approval is valid for one year, enabling SMBC to lift its stake further. As of June 2025, domestic lenders collectively owned 33.7% of Yes Bank, with SBI the largest single shareholder at 23.96%.
Foreign investors CA Basque Investments and Verventa Holdings held 4.22% and 9.2% stakes, respectively.
SMBC, a wholly owned subsidiary of Sumitomo Mitsui Financial Group, operates in India with branches in New Delhi, Mumbai, Chennai, and GIFT City.
Its expanded investment in Yes Bank is expected to strengthen the lender’s capital base and deepen bilateral banking ties between India and Japan.
First Published: Sept 2, 2025 6:11 PM IST
