Moody's trims Yes Bank's foreign currency rating; says outlook changed to negative

Last Updated: Tue, Nov 27, 2018 18:22 hrs
Yes Bank (Reuters image)

Yes Bank in a notification shared to exchange houses on Tuesday, said that rating agency Moody's had downgraded it's foreign currency rating.

"Yes Bank's foreign currency issuer ratings have today been downgraded to Ba1 from Baa3 by Moody's Investors Service. The outlook, where applicable, has been changed to negative from stable," said the bank.

At the same time, Moody's has affirmed the bank;s counterparty risk assessment (CR assessment) of Baa3 (cr) and domestic and foreign currency counterparty risk rating (CRR) of Baa3/P-3.

The notification was shared post trading hours on Tuesday. The Yes Bank stock was trading at a price of Rs 183.15 per share, down by Rs 4.80 or 2.55%.

A day ago, news reports said that a promoter group linked to the bank paid Rs 400 crore to two mutual funds from whom they had raised money by pledging shares. A <i>PTI report said that the Kapoor family paid Rs 200 crore each to Reliance Mutual Fund and Franklin Templeton Mutual Fund, citing sources.

With this payment, the overall outstanding of the promoter group's borrowing had come down to Rs 1400 crore.