Public Analysis of Investments and Sustainability Evaluation
Yes Bank AT1 bond holders knew the risks, they simply ignored it
Additional tier-1 bonds worth a total of Rs 8,415 crore were written down as part of Yes Bank’s reconstruction scheme in March 2020. They included the securities issued to both retail and institutional investors. The write-off punched a big hole in the pockets of several retail investors. These were the life savings of many individuals, particularly retirees. Since then, investors have been fighting an endless battle to get their capital back.
With the Bombay High Court quashing the write-down order on January 20, there is some hope for investors now. But Yes Bank has already said it will move the Supreme Court. That means, AT1 bond holders have a longer fight ahead.
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