New Delhi— Prashant Kumar will continue to serve as Managing Director and Chief Executive Officer (CEO) of Yes Bank for an additional six months, the private sector lender announced on Friday.
The Reserve Bank of India (RBI) has approved the extension, which takes effect from October 6. Kumar will remain in the post until a new MD and CEO is appointed or until the six-month period ends—whichever comes first.
The decision was disclosed through a regulatory filing to the stock exchanges. Yes Bank did not specify the duration of the extension it originally sought.
Kumar first assumed leadership at Yes Bank in March 2020 when the troubled institution was placed under reconstruction by the RBI, with support from the government and a consortium of banks led by the State Bank of India (SBI). Initially appointed as administrator, he later became MD & CEO following the successful restructuring.
Before joining Yes Bank, Kumar served as Deputy Managing Director and Chief Financial Officer at SBI. His current term as MD & CEO began in October 2022 and was originally scheduled to run through October 2025.
However, as the bank begins a formal succession process, Kumar will remain at the helm. According to reports, Yes Bank has engaged an executive search firm to identify his successor. This search gains added urgency amid reports that Japan’s Sumitomo Mitsui Banking Corp. (SMBC) is in talks to acquire a 20 percent stake in Yes Bank from SBI and other participating lenders—a deal estimated at over ₹13,000 crore.
Yes Bank is one of two major private banks currently seeking new top leadership. IndusInd Bank is also in the process of selecting a successor after MD & CEO Sumant Kathpalia stepped down.
Yes Bank’s stock closed 1.27 percent lower on Friday at ₹20.16 on the Bombay Stock Exchange. (Source: IANS)
