Grapevine: Yes Bank looks to raise more money; Naspers to buy into startup Dream11

Yes Bank Ltd is eyeing an additional $600 million (about Rs 4,276.7 crore at current exchange rate) after raising $270 million in an oversubscribed qualified institutional placement (QIP) of shares on Wednesday, two people aware of the plans told Mint.

“Yes Bank will soon reach out to shareholders for fresh approval for another capital-raising; however, this time it is looking to bring in strategic investors since the dilution of shareholding this time will be much higher,” said one of the two people cited above, asking not to be named.

Raising more money will be crucial for the bank if it intends to comply with capital adequacy regulations, the report said. As of June-end, the bank’s Tier-I capital adequacy ratio stood at 10.7% as against the regulatory requirement of 8.875%. 

The bank originally planned to raise $1 billion to shore up its capital adequacy ratio required under Basel-III norms.

Meanwhile, South Africa’s Naspers Ltd is looking to acquire about $100 million (about Rs 713 crore at current exchange rate) worth of stake in gaming startup Dream11 Fantasy Pvt. Ltd from Kalaari Capital, Think Investments and Multiples Alternate Asset Management, two people aware of the matter told Mint.

The company is nearing profitability with last quarter’s revenue standing at $150 million. It has emerged as one of the fastest-growing tech startups in India and was valued as a unicorn when it raised $60 million in April in a round led by US-based hedge fund Steadview Capital.

Investor interest as well the company’s value has surged after the Supreme Court in an order last year said that the Dream11 format of fantasy sports is legal.

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