Mumbai, Aug. 23 -- Yes Bank on Saturday said that the Reserve Bank of India (RBI) has approved a proposal by Japanese lender Sumitomo Mitsui Banking Corporation to acquire up to 24.99% in the private sector lender.

The Japanese lender announced in May that it will acquire a 20% stake in Yes Bank for Rs.13,482 crore, in the largest cross-border investment in the Indian banking sector. SMBC is a wholly-owned subsidiary of Sumitomo Mitsui Financial Group, the second largest banking group in Japan with assets of $2 trillion at the end of December. Then in July, Reuters reported that SMBC sought approval for an additional 4.9% stake in Yes Bank.

It is not immediately clear as to when and from which shareholders SMBC will purchase the additio...