London Stock Exchange Group signs MoU with India’s YES BANK

  • LSEG and YES BANK to collaborate on debt and equity issuances
  • Yes BANK aims to list up to $500m Green Bond on London Stock Exchange in 2016
  • YES BANK to potentially raise equity capital through global depository receipt listing in London
  • Confirms London’s position as leading international green finance centre

London Stock Exchange Group (LSEG) today signed a Memorandum of Understanding with YES BANK, India’s fifth largest private sector bank, to develop collaboration around bond and equity issuance, with a particular focus on Green Infrastructure Finance.

As part of the Agreement, YES BANK confirmed that it plans to list a Green Bond of up to $500m on London Stock Exchange by December 2016 and to raise further capital in London, potentially through the listing of Global Depository Receipts (GDR) as part of its overall $1bn of equity capital raising plans.

The agreement, signed by Nikhil Rathi, CEO, LSE plc and Rana Kapoor, Founder, Managing Director & CEO of YES BANK in the same week as the visit of Indian Prime Minister Narendra Modi will help strengthen the increasingly vibrant economic and financial ties between the UK and India.

Nikhil Rathi, CEO, London Stock Exchange plc & Director of International Development, LSEG said:

"London is the world’s most international financial market and has a long history working with partners in India. The London Stock Exchange is a natural partner for YES BANK in these significant debt and equity issuances. YES BANK is a leader in sustainable finance in India. We are honoured to welcome Mr. Rana Kapoor and his team from YES BANK to sign this important Agreement which demonstrates our commitment to supporting the raising of green capital for India."

Rana Kapoor, Founder, Managing Director & CEO of YES BANK said:

"The YES BANK – LSE strategic MoU signed along side the historic visit of Hon’ble Prime Minister of India Shri Narendra Modi to UK presents a fantastic opportunity to create mutually beneficial synergies.  YES BANK will endeavour to improve the access to long term overseas funds for corporate in India, through capital markets in the UK particularly towards Green Infrastructure Financing, which is high on India’s agenda. We also look forward to working with the LSE in establishing London as the leading centre for rupee denominated offshore capital raising."

There are currently 54 Indian companies listed in London, by primary country of operation, with a combined market capitalisation of £103 billion. 33 are listed on the Main Market and 21 are quoted on AIM. In the last two years, London has established itself as the leading centre for off-shore Rupee debt issuance – so-called ‘Masala bonds’. This week, India’s Housing Development Finance Corporation announced the first masala bond programme from an Indian private sector corporate, planning to raise a total of USD750m in London and in August this year, the IFC, supported by YES BANK listed a 3.15 billion rupee green bond on London Stock Exchange.

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For further information:

Tom Gilbert - +44 (0)20 7797 1222
newsroom@lseg.com

Notes to editors:

About London Stock Exchange Group:

London Stock Exchange Group (LSE.L) is a diversified international market infrastructure and capital markets business sitting at the heart of the world's financial community. The Group can trace its history back to 1698.

The Group operates a broad range of international equity, bond and derivatives markets, including London Stock Exchange; Borsa Italiana; MTS, Europe's leading fixed income market; and Turquoise, a pan-European equities MTF. It is also home to one of the world’s leading growth markets for SMEs, AIM. Through its platforms, the Group offers international business and investors unrivalled access to Europe's capital markets.

Post trade and risk management services are a significant part of the Group’s business operations. In addition to majority ownership of multi-asset global CCP operator, LCH.Clearnet Group, LSEG operates CC&G, the Italian clearing house; Monte Titoli, the T2S-ready European settlement business; and globeSettle, the Group’s newly established CSD based in Luxembourg.

The Group is a global leader in indexing and analytic solutions. FTSE Russell offers thousands of indexes that measure and benchmark markets around the world. The Group also provides customers with an extensive range of real time and reference data products, including SEDOL, UnaVista, and RNS.

London Stock Exchange Group is a leading developer of high performance trading platforms and capital markets software for customers around the world. In addition to the Group’s own markets, over 35 other organisations and exchanges use the Group’s MillenniumIT trading, surveillance and post trade technology.

Headquartered in London, with significant operations in North America, Italy, France and Sri Lanka, the Group employs approximately 4,700 people

Further information on London Stock Exchange Group can be found at www.lseg.com