After the Competition Commission of India (CCI) approved Japan’s Sumitomo Mitsui Banking Corporation’s (SMBC) plan to purchase up to 24.99 percent of the private lender, Yes Bank’s shares surged 2 percent to Rs 20 on September 3. According to the CCI’s announcement, “the proposed combination relates to Sumitomo Mitsui Banking Corporation’s acquisition of Yes Bank’s share capital and voting rights.” Sumitomo Mitsui Financial Firm (SMFG), the parent corporation of SMBC, is the second-biggest bank in Japan with $2 trillion in total assets as of December 2024 and a major global footprint.
This clearance closely follows the Reserve Bank of India’s (RBI) approval of SMBC’s intention to purchase up to 24.99 percent of Yes Bank’s voting rights and paid-up capital last month. The deal dates back to May 9, 2025, when Yes Bank announced that SMBC would buy a 20 percent stake through a secondary deal. Axis Bank, Bandhan Bank, Federal Bank, HDFC Bank, ICICI Bank, IDFC First Bank, and Kotak Mahindra Bank would each contribute 6.81 percent of the stake, while State Bank of India (SBI) would contribute 13.19 percent. Following this deal, SMBC will hold the majority of Yes Bank’s shares.
Furthermore, the RBI has reappointed Rama Subramaniam Gandhi as the part-time chairman of Yes Bank, with effect from September 20, 2025, to May 13, 2027. Gandhi is a 37-year veteran central banker who formerly held the position of RBI Deputy Governor from 2014 to 2017.
