Deutsche Bank AG’s former India CEO Ravneet Gill, who recently replaced Kapoor, has decided to make kitchen-sinking of problem loans his first priority. Interestingly, Indiabulls Housing Finance Ltd. wants to merge with Lakshmi Vilas, provided the RBI allows the shadow bank to morph into a deposit-taking institution. It’s reasonable to expect that even Yes Bank will become the target of some sort of special situation investor.However, there are uncertainties around how much headway new CEO Gill will make and how soon. The bank’s exposure to the former’s crumbling empire alone is $1.85 billion, or half of the bank’s common equity, BloombergQuint reported this month. Meanwhile, Yes Bank has a $470 million exposure to Zee’s controlling shareholder, Business Standard reported in January.Given all this, a long line of willing suitors for Yes is unlikely.

Source: Economic Times May 16, 2019 03:57 UTC