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Yes Bank’s Nomination and Remuneration Committee (NRC) has rejected the extension of Retail Business Executive Director Rajan Pental, while there is uncertainty over the position of CEO Prashant Kumar. SMBC, which is the largest shareholder of the bank, is focusing on strengthening the retail business and is considering the possibility of new leadership. Due to this news, a slight rise in the bank’s shares was seen in the market and it closed at Rs 21.96 on Wednesday.
New Delhi. There have been rumblings of major changes in Yes Bank for the last few weeks. The Nomination and Remuneration Committee (NRC) of the bank has refused to give the next term to Executive Director Rajan Paintal, who is handling the retail business. According to Moneycontrol news, the bank’s largest shareholder Sumitomo Mitsui Banking Corporation i.e. SMBC wants to aggressively expand the retail business and that is why the committee has unitedly decided not to extend Pental’s tenure.
Rajan Pental was appointed for three years in February 2023 and has been associated with the bank for the last decade. But sources say that despite many efforts, the retail business did not achieve the pace that the bank had expected. For this reason, the board is now preparing to bring new talent and new leadership in the retail division.
Who will take over the retail leadership now?
The name present in the next line is that of Sumit Bali, who joined Yes Bank after resigning from Axis Bank last year. However, it is not clear whether he will be made the executive director in place of Pental or not.
Even the CEO’s chair is not safe
Sources reveal that the next tenure of Yes Bank MD and CEO Prashant Kumar is also insecure. Usually, banks send names to RBI for re-appointment six months before the end of the tenure of MD-CEO, but this time it has not happened. This indicates that the board is probably looking for a new face. If the new CEO is selected, the bank will have to send a list of 2 to 3 names to RBI.
Kumar has been MD and CEO since March 2020 and got a six-month extension in October 2025, which is till April 2026. Now there is doubt whether he will be given another chance or not. Yes Bank has said “no comment” on this.
SMBC’s dominance increased: slight rise in shares
The eyes of investors in Yes Bank are fixed on these management changes. The bank’s shares closed at Rs 21.96, up 1.10 per cent in Wednesday’s trade. Market experts are seeing this as cautious expectation of investors amid possible changes. At the same time, due to the increasing hold of SMBC, the market’s interest in the future strategy of the bank has also increased.
The command of the future is in the hands of SMBC
SMBC is currently the largest shareholder of the bank with 24 percent stake and has two representatives sitting on the board. In this situation, the final selection of the CEO can also be decided to a great extent by this new big investor.
SMBC had bought 20 percent stake of SBI and other banks in May 2025 and later also took 4 percent stake of Carlyle. Now the new strategy of the bank and the roadmap of the new leadership seems to depend entirely on the vision of SMBC.
