The State Bank of India (SBI) has recorded an internal rate of return (IRR) of approximately 14% (pre-tax) on its investment in Yes Bank, according to Chairman CS Setty. Speaking on November 4, Setty said the outcome marked both a financially and strategically successful conclusion to the lender\u2019s three-year-long revival plan.<\/p>\n
Setty emphasized that, while the return on investment was healthy, the primary goal was to ensure\u00a0financial stability, not profit. \u201cIt is a good IRR, but more importantly, this was about ensuring that a critical bank was rescued and put back on track,\u201d he told Moneycontrol<\/em>.<\/p>\n Setty noted that SBI\u2019s intent in participating in Yes Bank\u2019s reconstruction plan was to support the financial system at a crucial time, rather than to seek profits.<\/p>\n He recalled being part of Yes Bank\u2019s board during the restructuring phase, witnessing the process from rescue to closure. \u201cIt was important that the restructuring reached a logical conclusion not in terms of a fixed period like three or five years, but by bringing in a strong strategic partner to run the bank,\u201d Setty said.<\/p>\n The SBI chairman referred to the induction of a new promoter as the final stage of Yes Bank\u2019s revival journey.<\/p>\n Also Read<\/strong>: M&M to Sell Entire RBL Bank Stake Worth \u20b9682 Crore<\/a><\/em><\/p>\n SBI still holds around 10% stake in Yes Bank. On this, Setty clarified that the lender has no immediate plan to exit the remaining investment. In August, Japan\u2019s Sumitomo Mitsui Banking Corporation (SMBC) received the Reserve Bank of India\u2019s approval to buy up to 24.99% stake in Yes Bank from SBI and seven other shareholders.<\/p>\n This followed a May agreement in which SMBC committed to purchasing a 20% stake for $1.6 billion, marking India\u2019s largest cross-border financial sector merger and acquisition.<\/p>\n According to Setty, SBI\u2019s intervention ensured that a systemically important private sector bank was stabilized and guided toward sustainable growth. Click here to explore: The State Bank of India (SBI) has recorded an internal rate of return (IRR) of approximately 14% (pre-tax) on its investment in Yes Bank, according to Chairman CS Setty. Speaking on November 4, Setty said the outcome marked both a financially and strategically successful conclusion to the lender\u2019s three-year-long revival plan. Setty emphasized that, while […]<\/p>\n","protected":false},"author":6,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1362],"tags":[],"ppma_author":[1383],"class_list":{"0":"post-16883","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-finance-and-economy-news"}," _eael_post_view_count":0,"authors":[{"term_id":1383,"user_id":6,"is_guest":0,"slug":"pradeep","display_name":"Pradeep Sangatramani","avatar_url":{"url":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/09\/Pradeep-Sangatramni.jpeg","url2x":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/09\/Pradeep-Sangatramni.jpeg"},"0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":""}],"_links":{"self":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/16883","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/comments?post=16883"}],"version-history":[{"count":1,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/16883\/revisions"}],"predecessor-version":[{"id":16885,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/16883\/revisions\/16885"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media\/16884"}],"wp:attachment":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media?parent=16883"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/categories?post=16883"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/tags?post=16883"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/ppma_author?post=16883"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Focus on Stability Over Profit<\/h2>\n
No Urgency to Sell Remaining 10% Stake<\/h2>\n
\u201cThere is no compulsion for us either to hold or sell at this stage. We will take an appropriate call at the right time,\u201d he stated.<\/p>\nBackground on SMBC\u2019s Investment Approval<\/h2>\n
SBI\u2019s Strategic Role in Yes Bank\u2019s Revival<\/h3>\n
The chairman called the experience \u201csatisfying\u201d, both for the financial returns and for successfully restoring confidence in the banking system.<\/p>\n
\n<\/strong>FII DII Data<\/a>
\nIPO<\/a>
\nBSE Sensex<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"