Shares of Yes Bank have plunged 25 per cent after the company was placed under a moratorium. The scrip suffered a massive beating and sank 24.96 per cent to Rs 27.65 — its 52-week low — on the BSE. On the NSE, it plummeted 20 per cent to Rs 29.45.
The entire banking pack also came crashing in opening trade, with RBL Bank trading 15 per cent lower, followed by IndusInd Bank which dropped 11 per cent, SBI 7 per cent and Axis Bank 4 per cent on the BSE. The BSE bankex was trading lower by nearly 3 per cent.
The broader market was also hit hard, with the BSE benchmark tanking 1,459.52 points. In a rare move, capital-starved Yes Bank was placed under a moratorium, with the RBI capping deposit withdrawals at Rs 50,000 per account for a month and superseding its board.
The announcement came late Thursday evening. Yes Bank will not be able to grant or renew any loan or advance, make any investment, incur any liability or agree to disburse any payment. The regulatory actions, undertaken by the RBI and the government, came hours after finance ministry sources confirmed that SBI was directed to bail out the troubled lender. Shares of Yes Bank had zoomed 27 per cent on Thursday on reports of the bailout.