Tender Offer | ₹250.00 Crores | Listed at BSE | Tue, Sep 27, 2022 - Tue, Oct 11, 2022
Granules India Ltd. Buyback is a tender offer for the repurchase of up to 0.63 crore equity shares at a buyback price of ₹400 per share with a face value of ₹1 per share, aggregating to ₹250.00 crores.
The record date for determining eligible shareholders is Aug 23, 2022. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Sep 27, 2022 and closes on Oct 11, 2022, with the last date for receipt of tender forms being Oct 11, 2022.
The finalisation of buyback acceptance is expected on Oct 19, 2022, followed by settlement of bids on Oct 20, 2022.
Motilal Oswal Investment Advisors Ltd. is the Manager to the Buyback and Kfin Technologies Ltd. is the Registrar and Motilal Oswal Financial Services Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the Granules India Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Tue, Sep 27, 2022
Offer Closing Date
Tue, Oct 11, 2022
Buyback Price
₹400 per share
Record Date
August 23, 2022
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 1 Equity Share out of every 20 Fully paid-up Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 19 Equity Shares out of every 821 Fully paid-up Equity Shares held on the Record Date. |
| Period Ended | Total Revenue | Profit After Tax | Net Worth |
|---|---|---|---|
| 31-Mar-20 | 2635.2 | 335.4 | 1843.72 |
| 31-Mar-21 | 3264.42 | 549.46 | 2173.27 |
| 31-Mar-22 | 3264.42 | 549.46 | 2173.27 |
| Amount in ₹ Crore | |||
Granules India Limited is engaged in the business of manufacturing pharmaceutical products. The company manufactures high-quality API, FD, PFI and Speciality Products with a focus on customer centricity.
Granules India has six facilities located in Bonthapally, Jeedimetla and Gagillapur (Hyderabad), Visakhapatnam and Chantilly (Virginia).
The company business segments are Active Pharmaceutical Ingredient, Pharmaceutical Formulations Intermediates Catalog and Finished Dosages.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Jul-2022 | 313.25 | 269.05 | 295.66 |
| Jun-2022 | 281.90 | 227.00 | 261.12 |
| May-2022 | 285.00 | 232.15 | 260.33 |
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Jul-2022 | 313.30 | 268.90 | 295.71 |
| Jun-2022 | 282.00 | 226.95 | 261.08 |
| May-2022 | 285.00 | 232.10 | 260.37 |
The buyback is being undertaken for the following reasons:
1. The Buyback will help the Company to distribute surplus cash to its members holding Equity Shares thereby enhancing the overall return for them.
2. The Buyback is generally expected to improve return on equity through the distribution of cash and improve earnings per share by the reduction in the equity base of the Company, thereby leading to a long-term increase in shareholders' value.
Granules India Ltd.
2nd Floor, 3rd Block,
My Home Hub, Madhapur,
Hyderabad- 500 081 (TG)
Hyderabad, Telangana, 500081
Lead Manager(s)
Registered Broker
The Granules India Buyback opens on September 27, 2022, and closes on October 11, 2022.
The Granules India Buyback last day to buy is not available as of now.
The Granules India Buyback is a Tender Offer.
Granules India Buyback Schedule
| Buyback Opening Date | September 27, 2022 |
| Buyback Closing Date | October 11, 2022 |
| Last Date for receipt of Tender Forms | October 11, 2022 |
| Finalisation of Buyback Acceptance | October 19, 2022 |
| Last Date for settlment of bids | October 20, 2022 |
| Last Date for Extinguishment of Shares | October 25, 2022 |
The Granules India Buyback is being offered at Rs ₹400 per share.
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 1 Equity Share out of every 20 Fully paid-up Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 19 Equity Shares out of every 821 Fully paid-up Equity Shares held on the Record Date. |
The issue size of Granules India Buyback is 62,50,000 equity shares at ₹400 per share aggregating up to ₹250.00 Crores.
The buyback is being undertaken for the following reasons:
1. The Buyback will help the Company to distribute surplus cash to its members holding Equity Shares thereby enhancing the overall return for them.
2. The Buyback is generally expected to improve return on equity through the distribution of cash and improve earnings per share by the reduction in the equity base of the Company, thereby leading to a long-term increase in shareholders' value.
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 Granules India Buyback 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.
