Abu Dhabi: Yes Bank, one of India’s largest private sector banks, is set to expand in the Gulf region after opening its first international branch in Abu Dhabi on Sunday, according to its founder, managing director and chief executive officer, Rana Kapoor.
The bank, whose Abu Dhabi location marks the first one outside India, is expected to open an office in the Dubai International Financial Centre (DIFC) later this year and is looking at Singapore for medium- to long-term expansion plans.
The bank may also use its UAE offices to go into North Africa, the CEO said.
Kapoor said the bank chose Abu Dhabi as its first international location because of the emirate’s proximity to India, as well as its non-resident Indian (NRI) potential.
“If you see the global financial crisis, which started in 2008, and then the implications of energy prices also, the fact is that the banking sector here has been very insulated. It has been able to overcome challenges exceedingly well,” he told Gulf News.
The CEO added that he did not think the GCC’s banking sector would be adversely affected by falling oil prices.
Yes Bank, which has been listed on India’s stock market for the past 10 years, is also expected to dually list in the US in March 2016, Kapoor confirmed.
“We have just taken the board’s approval about four days ago to be able to raise $1 billion (Dh3.67 billion) of additional capital. Should the management and the capital markets decide to list in the US, invariably it’s going to be the New York Stock Exchange or Nasdaq,” he said.
Kapoor said the bank was eyeing the US for its strong liquidity and business intelligence, adding that he expected strong demand from US investors once the bank lists there.
Asked about how many shares the bank will float, the CEO said it would depend on the share price.
“Overall, we expect that our dilution should not be more than 12 per cent [of capital],” he said.
The representative office was inaugurated by Shaikh Nahyan Mubarak Al Nahyan, Minister of Culture, Youth, and Social Development, and T. P. Seetharam, Ambassador of India to the UAE.