Shares of Yes Bank may face selling pressure as the Reserve Bank-mandated three-year lock-in period for individual investors and exchange-traded funds is ending on Monday, according to analysts.

The analysts expect distress on the bank counter on Monday as they expect investors, primarily the nine banks led by State Bank, which picked up almost 49 per cent of its stocks in March 2020 for Rs 10 per share —at a premium of Rs 8 on the face value as part of the RBI bailout, making an exit.

Exchange-traded funds are also likely to press the exit button.

Together, as much as 1.35billion shares are with individual investors — including retail, HNIs and NRIs — under the lock-in and another 67million with exchange-traded funds, and all these are likely to exit if not at one go over the next few weeks, according to analysts.

As of December 2022, SBIheld 26.14 per cent or 6,050 million shares of Yes Bank; HDFC& HDFC Bank and ICICI Bankheld 1,000 million shares each; Axis Bank 600 million; Kotak Mahindra Bank 500 million; Federal Bank and BandhanBank 300 million each andIDFC First Bank held 250 million shares before it went belly-up on March 5, 2020. These eight banks held originally almost 11 billion shares in the bank.

That apart, SBI AMC holds23.67 million of Yes Bankshares in its Nifty 50 ETF, Kotak AMC holds 11.99 million, Nippon India has 10.56million, SBI ETF of BankNifty has another 6.72 million and UTI AMC holds 5.89 million.

However, the majority of these banks have already sold almost 25 per cent of their holding in the bank, which was not under the lock-in.