Mumbai, June 10 : The family of Madhu Kapur, widow of late Ashok Kapur, Co-founder of Yes Bank, has withdrawn a suit filed by her and her family in the Bombay High Court seeking recognition and right to participate in the management of the Bank.
The Bombay High Court allowed her on Tuesday to withdraw the suit, according to a communication from the Bombay Stock Exchange on Wednesday.
Madhu Kapur has 9.3 per cent stake in Yes Bank listed in BSE. She inherited shares from her husband Ashok Kapur who had earlier co-founded Yes Bank along with Rana Kapoor, his co-brother-in-law and a billionaire.
Ashok was killed in terror attacks in Mumbai in 2008. Thereafter Rana Kapoor took over control of the Yes Bank. The Kapurs later decided to withdraw from the scene as promoters of Yes Bank thereby ending the prolonged power struggle between the two families.
Yes Bank was bailed out by a bank consortium led by State Bank of India early this year after the Government and the Reserve Bank of India had intervened.
Madhu Kapur ’s family had recently written to Yes Bank consenting to reclassify their family shareholding in the Bank as non-promoter shareholders.
The Kapurs had earlier filed an affidavit in the Bombay High Court seeking recognition and right to participate in the management of Yes Bank, restrain individual directors from acting as such or holding themselves as the Directors of the Bank and also to restrain the Bank from making or continuing with any application to Regulatory Authorities for re-classifying their shareholding into a Non-promoters shareholding.
A communication from the Bombay Stock Exchange said that Madhu Kapur and her family has now withdrawn the suit filed by the family in the Bombay High Court.
The exchange note further said, “Further, vide our communication dated May 30, 2020, the Bank had informed the Bombay Stock Exchange that the Plaintiffs (Madhu Kapur family) have consented to reclassify their shareholding in the Bank as non-promoter shareholders (i.e public shareholders).”
Meanwhile, Yes Bank shares were up by 2 per cent on June 10 morning after Madhu Kapur’s family withdrew their lawsuit against the Bank.
The stock price of Yes Bank has seen a steady rise in the last three months registering a jump of over 44 per cent. It was quoted at Rs 30.65 up Rs 0.75 or 2.51 per cent at 0932 hours Wednesday Morning and touched an intraday high of Rs 30.75 and an intraday low of Rs 30.30.
