Sumitomo Mitsui Financial Group is exploring an additional investment of about $1.1 billion in India’s Yes Bank Ltd., according to people familiar with the matter. The Japanese lender is discussing the purchase of roughly 5% of the Mumbai-listed bank from Carlyle Group and other minority shareholders, and may also subscribe to around $680 million of convertible bonds that Yes Bank has issued. The new funding would follow SMFG’s $1.6 billion acquisition of a 20% holding in May, potentially lifting its overall stake to about 25%. A larger position would deepen SMFG’s exposure to India’s expanding retail-banking market and underscore its confidence in Yes Bank’s recovery since the Reserve Bank of India orchestrated a rescue in 2020. Deliberations are ongoing and no final agreement has been reached, the people said.