Tender Offer | ₹4,000.00 Crores | Listed at BSE, NSE | Wed, Mar 6, 2024 - Wed, Mar 13, 2024
Bajaj Auto Ltd. Buyback is a tender offer for the repurchase of up to 0.40 crore equity shares, representing 1.41% of the total paid-up equity share capital at a buyback price of ₹10000 per share with a face value of ₹10 per share, aggregating to ₹4,000.00 crores.
The record date for determining eligible shareholders is Feb 29, 2024. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Mar 6, 2024 and closes on Mar 13, 2024, with the last date for receipt of tender forms being Mar 13, 2024.
The finalisation of buyback acceptance is expected on Mar 19, 2024, followed by settlement of bids on Mar 20, 2024.
JM Financial Ltd. is the Manager to the Buyback and Kfin Technologies Ltd. is the Registrar and JM Financial Services Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the Bajaj Auto Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Wed, Mar 6, 2024
Offer Closing Date
Wed, Mar 13, 2024
Buyback Price
₹10000 per share
Record Date
February 29, 2024
| Category | Entitlement Ratio of Buyback | Shares Offered |
|---|---|---|
| Reserved Category for Small Shareholders | 7 Equity Shares out of every 27 Fully paid-up Equity Shares held on the Record Date. | 600,000.00 |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 82 Fully paid-up Equity Shares held on the Record Date. | 3,400,000.00 |
Bajaj Auto Limited's revenue increased by 9.34% and profit after tax (PAT) dropped by -1.71% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period Ended | 31 Dec 2023 | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
| Assets | 35,136.45 | 35,111.21 | 33,601.71 | |
| Revenue | 34,391.51 | 37,642.90 | 34,428.85 | 29,017.54 |
| Profit After Tax | 5,696.81 | 6,060.21 | 6,165.87 | 4,857.02 |
| Reserves and Surplus | 25,142.90 | 26,379.43 | 24,912.89 | |
| Amount in ₹ Crore | ||||
Founded in 2007, Bajaj Auto Limited is a multinational automobile manufacturer based in Pune, India. Initially, it was known for its scooters, but over the years, the company expanded its product range to include motorcycles and three-wheelers. Bajaj Auto offers a wide range of motorcycles that cater to different market segments. Some of the most popular motorcycle models include the Pulsar series, Dominar, Avenger, and Platina.
The company has exported its two-wheelers to Africa, Latin America, the Middle East, and South East Asia.
Bajaj Auto is known for its focus on innovation and technological advancement. The company has introduced features like DTS-i (Digital Twin Spark Ignition) technology in its motorcycles that aim to improve fuel efficiency and performance.
Bajaj Auto is the first two and three-wheeler company in the world to achieve a market capitalization of INR one trillion and continues to be the most valuable two and three-wheeler company in the world.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Feb-2024 | 8,325.05 | 7,655.75 | 7,857.95 |
| Jan-2024 | 7,667.55 | 6,665.05 | 7,171.90 |
| Dec-2023 | 6,797.25 | 6,046.05 | 6,324.41 |
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Feb-2024 | 8,325.80 | 7,653.85 | 7,857.23 |
| Jan-2024 | 7,663.55 | 6,662.50 | 7,171.38 |
| Dec-2023 | 6,801.00 | 6,046.60 | 6,323.84 |
The financial strategy of the Company is aimed at driving the sustainable growth of its business and enhancing the returns for its Shareholders. The growth of the business, robust cash generation and strong balance sheet position allows the Company to reward its shareholders from time to time, as in the current instance, while retaining sufficient capital for growth investments, and opportunities. The Buyback reinforces the Company's commitment to its shareholders by returning surplus cash to them in an effective and efficient manner, which in turn will improve its earnings per share and return on equity.
Bajaj Auto Ltd.
Pune Road, Akurdi
Pune
411035
Pune, Maharashtra
Lead Manager(s)
Registered Broker
The Bajaj Auto Buyback 2024 opens on March 6, 2024, and closes on March 13, 2024.
Last date to be eligible to participate in buyback is February 28, 2024.
The Bajaj Auto Buyback 2024 is a Tender Offer.
Bajaj Auto Buyback 2024 Schedule
| Buyback Opening Date | March 6, 2024 |
| Buyback Closing Date | March 13, 2024 |
| Last Date for receipt of Tender Forms | March 13, 2024 |
| Finalisation of Buyback Acceptance | March 19, 2024 |
| Last Date for settlment of bids | March 20, 2024 |
| Last Date for Extinguishment of Shares | March 26, 2024 |
The Bajaj Auto Buyback 2024 is being offered at Rs ₹10000 per share.
| Category | Entitlement Ratio of Buyback | Shares Offered |
|---|---|---|
| Reserved Category for Small Shareholders | 7 Equity Shares out of every 27 Fully paid-up Equity Shares held on the Record Date. | 600,000.00 |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 82 Fully paid-up Equity Shares held on the Record Date. | 3,400,000.00 |
The issue size of Bajaj Auto Buyback 2024 is 40,00,000 equity shares at ₹10000 per share aggregating up to ₹4,000.00 Crores.
The financial strategy of the Company is aimed at driving the sustainable growth of its business and enhancing the returns for its Shareholders. The growth of the business, robust cash generation and strong balance sheet position allows the Company to reward its shareholders from time to time, as in the current instance, while retaining sufficient capital for growth investments, and opportunities. The Buyback reinforces the Company's commitment to its shareholders by returning surplus cash to them in an effective and efficient manner, which in turn will improve its earnings per share and return on equity.
All the eligible Shareholders of the Company holding either Physical Shares or Demat Shares as on the Record Date can participate in the buyback offer through their Stock Broker.
The eligible shareholder holding the shares in Demat form needs to inform their broker the details of the Equity shares they wish to tender in the Buyback Offer. The shareholder needs to transfer the tendered shares to a Special account of the clearing corporation. The broker, in turn, would place an order on the stock exchange for the buyback.
The eligible shareholder holding the shares in physical form needs to approach their broker with original share certificates and supporting documents. Upon completion of document verification, the broker places an order on the stock exchange and submits the original share certificate and TRS to the registrar.
The tender form and TRS are optional in the case of Demat shares but mandatory in the case of physical shares.
The Bajaj Auto Buyback 2024 offers an opportunity for the shareholders to exit their positions at a premium price. In case you stay invested you would have an increased percentage of shareholding in the company and improved earnings per share. Thus, one should understand the company fundamentals along with one's need, goals, and risk appetite to decide if one wants to stay invested or participate in the buyback offer.
