India's Yes Bank Says On Track To Find CEO Within RBI Deadline

India’s Yes Bank Ltd said it was on track to find a new chief executive officer within the central bank’s Feb. 1 deadline, but the lender’s shares fell sharply as the market was expecting some clarity at its board meeting on Thursday.

The bank now plans to submit the final recommendation for the CEO post to the Reserve Bank of India (RBI) after the next board meeting on Jan. 9, India's fifth largest private-sector lender by assets said in a statement.

Yes Bank shares, which rose as much as 3.5 percent earlier in the session, reversed course to close 6.4 percent lower.

“People were expecting an MD & CEO appointment from this meeting, but that has been deferred to the Jan. 9 meeting, so that is a major disappointment,” said Asutosh Mishra, head of research of institutional equity at Ashika Stock Broking Ltd.