Yes Bank share: Following the State Bank of India (SBI) move to offload its 13.19% stake in Yes Bank in favour of Japan’s Sumitomo Mitsui Banking Corporation (SMBC), bulls bet high on Yes Bank shares on Friday. The share price witnessed a sharp upside on Friday and finished 10% higher at ₹20.05 apiece on the NSE.

According to stock market experts, SBI, HDFC Bank, LIC, ICICI Bank, IDFC First Bank, etc., offloading their stake in Yes Bank to favour Japan’s SMBC will become a game-changer for Yes Bank. They said the move is expected to change Yes Bank from a local bank to an international bank, making it easier for the private lender to raise funds for business. Today, Yes Bank depends upon local options for raising funds, while SMBC buying a stake would also mean raising funds from overseas.

Yes Bank share price outlook

Speaking on the impact of SMBC’s stake on Yes Bank, Prashanth Tapse, AVP — Research at Mehta Equities, said, “The proposed SMBC and SBI transaction has the potential to be a game-changing move for Yes Bank, bringing global governance standards, improved risk frameworks, and access to international growth capital. If executed successfully, this deal may begin a long-awaited turnaround for YES Bank shares. This partnership of SMBC and Indian banks may enhance investor confidence and catalyse a rally in YES Bank shares in the upcoming sessions.”

The Mehta Equities expert said that SBI and other investors from the 2020 bailout realise gains on their investment, while the private lender gains access to world-class banking expertise, risk management practices, and potentially significant capital infusion.

Yes Bank share price target 2025

Expecting sharp upside in Yes Bank shares, Anshul Jain, Head of Research at Lakshmishree Investments, said, “Yes Bank share price has broken above the swing structure resistance of ₹18.45 with volumes soaring over 417% of the 50-day average, signalling a structural shift in trend. The breakout confirms fresh momentum and indicates strong participation from market participants. With this volume-backed move, Yes Bank shares are heading towards the next resistance zone of ₹21 to ₹21.50 per share. Sustaining above ₹18.45 will be key for bulls to maintain momentum and push further gains in the coming sessions.”

Suggesting fresh investors to buy and hold Yes Bank shares, Prashanth Tapse of Mehta Equities said, “The next resistance zone lies around ₹21.50, and a breakout above that could lead to ₹23 to ₹24 levels. Support has now shifted higher to ₹19.20. RSI is witnessing an upsurge, now near 62–65, reflecting strengthening momentum. If Yes Bank share price sustains above ₹20, it could continue trending upward soon.”

Yes Bank news

India’s largest lender, State Bank of India (SBI), and seven other top lenders, including HDFC Bank, Kotak Mahindra Bank, ICICI Bank, and Axis Bank, are cumulatively offloading a 20% stake in Yes Bank in favour of Japan’s Sumitomo Mitsui Banking Corporation (SMBC), the private lender informed exchanges on Friday, May 9, 2025.

SBI announced that it will sell a 13.19% stake in Yes Bank to SMBC for ₹8,889 crore. SBI will offload 4,13,44,04,897 Yes Bank shares, amounting to a 13.19% stake, to Sumitomo Mitsui Banking Corporation at ₹21.50 per equity share.

SBI held a 23.97% stake in Yes Bank as of the March 2024 quarter. Following the deal, its stake in the company would drop to 10.78%. The stake sale is subject to the receipt of all regulatory and statutory approvals by the acquirer. The said stake sale is expected to be completed within 12 months from the date of execution, SBI added.

HDFC Bank, LIC and others to sell over 6% stake

Additionally, HDFC Bank, ICICI Bank, Kotak Mahindra Bank, Axis Bank, IDFC First Bank, Federal Bank and Bandhan Bank will collectively sell 2,136,830,297 equity shares, representing a 6.81% stake, of YES Bank to Sumitomo Mitsui Banking Corporation.

ICICI Bank, HDFC Bank, Kotak Mahindra Bank, Axis Bank and Life Insurance Corporation of India hold an 11.34% stake in Yes Bank.

In 2020, these banks acquired stakes in Yes Bank as part of the RBI’s bailout plan to stabilise the troubled private lender. These investments were part of a ₹10,000 crore infusion to recapitalize Yes Bank and facilitate its restructuring under the RBI’s guidance.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before making any investment decisions.