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Yes Bank Shares Plunge 10 Percent Following Supreme Court AT-1 Bond Ruling
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CNBC TV18•15-10-2026, 14:29
Yes Bank Shares Plunge 10 Percent Following Supreme Court AT-1 Bond Ruling
- •Yes Bank shares fell over 9 percent on Thursday after the Supreme Court ruled against the write-off of Rs 8,400 crore in Additional Tier-1 bonds.
- •The Supreme Court upheld the Bombay High Court decision, stating that Yes Bank must honor the bonds according to their coupon rates.
- •The court observed that the write-off executed during the 2020 rescue exercise was not done consistently with the master circular.
- •Over 97 percent of the affected AT-1 bondholders were individual bank customers who lost their entire principal during the restructuring.
Key Questions Answered
Yes Bank shares dropped significantly following a Supreme Court ruling that upheld the Bombay High Court's decision to quash the write-off of ₹8,400 crore in Additional Tier-1 (AT-1) bonds.
The Supreme Court ruled that Yes Bank must honor the ₹8,400 crore AT-1 bonds according to their prescribed coupon rates of 9.5% and 9%, noting the administrator lacked the authority to write them off.
Yes Bank raised ₹8,415 crore by issuing these Additional Tier-1 bonds back in 2016 and 2017.
