Yes Bank close to its low

Yes Bank slipped almost 3.5% to Rs.134.15, which is not too far from its 52-week low of Rs.132.50.

Looks like the demand of founder Rana Kapoor for a seat once again on the Board and also seeking compensation for lost payment has not gone down too well with the Board of the bank. Since this, two independent directors have resigned.

Yesterday, Mukesh Sabharwal, chairman of the nomination and remuneration committee, quit on Tuesday citing personal reasons. Former interim CEO Ajai Kumar had quit on Monday, also on personal grounds.

Kapoor had sent two letters in May seeking re-induction on the board. Him seeking crore of rupees as compensation has further shocked the Board. There is a general feeling that this goes the spirit of the RBI decision to not give him another term as CEO; so the question being asked is when he is deemed fit be a CEO, how can he be reinstated on the Board?

This has once again caused discomfort and that explains why the stock price is in the red today.