Tender Offer | ₹26.82 Crores | Listed at NSE | Mon, Jan 25, 2021 - Mon, Feb 8, 2021
Jullundur Motor Agency (Delhi) Ltd. Buyback is a tender offer for the repurchase of up to 0.75 crore equity shares at a buyback price of ₹36 per share with a face value of ₹2 per share, aggregating to ₹26.82 crores.
The record date for determining eligible shareholders is Dec 24, 2020. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Jan 25, 2021 and closes on Feb 8, 2021, with the last date for receipt of tender forms being Feb 10, 2021.
The finalisation of buyback acceptance is expected on Feb 15, 2021, followed by settlement of bids on Feb 16, 2021.
Systematix Corporate Services Ltd. is the Manager to the Buyback and MAS Services Ltd. is the Registrar and Systematix Shares and Stocks (India) Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the Jullundur Motor Agency (Delhi) Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Mon, Jan 25, 2021
Offer Closing Date
Mon, Feb 8, 2021
Buyback Price
₹36 per share
Record Date
December 24, 2020
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 38 Equity Shares out of every 93 Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 386 Equity Shares out of every 945 Equity Shares held on the Record Date. |
| Particulars | For the year/period ended (Rs. in Millions) | ||
|---|---|---|---|
| 31-Mar-20 | 31-Mar-19 | 31-Mar-18 | |
| Total Income | 3,095.67 | 3,322.27 | 3,260.04 |
| Profit After Tax | 127.04 | 134.41 | 119.90 |
| Net Worth | 1,576.10 | 1,455.59 | 1,380.40 |
Incorporated in 1949, Jullundur Motor Agency (Delhi) Limited (JMA) is India's one of the oldest and largest auto component distribution company . JMA is engaged in the business of dealing in spare parts and consumables of Automobiles. The Company manufactures almost all parts for all vehicles and deals only in OE and premium quality brands .
The company products include brakes, bearings, clutches, cooling systems, engine components, suspension, power steering, oil and lubricants, filters, and much more. JMA has a long-standing relationship with major national and international auto component manufacturers . The renowned clientele of JMA includes Brake India, Gabriel India, Mahle Filters, Rane Brake Lining, Rane Madras Limited, Rane TRW Steering, Rane Engineering Valve, Sundaram Fasteners, Webco India, Bimetal Bearings, and some international players such as Contitech India Pvt. Limited, Carcrew Technology, and Schaeffler India.
JMA has a pan India presence with seven regional offices, 59 branches spread across the country. The Company has one material subsidiary - JMA Marketing Limited and two associate companies - Jullundur Auto Sales Corporation Limited and ACL Components Limited.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Nov-2020 | 33.25 | 25.70 | 29.65 |
| Oct-2020 | 30.50 | 24.20 | 27.14 |
| Sep-2020 | 32.80 | 24.40 | 27.79 |
The Buyback is undertaken by the Company to:
i) Return surplus cash to its equity shareholders that are
over and above its ordinary capital requirements and in excess of any current investment plans.
ii) Improve financial ratios like earnings per share (EPS) and return on equity (ROE) by reducing the equity base of the Company
Jullundur Motor Agency (Delhi) Ltd.
458-1/16, Sohna Road,
Opp. New Court, Gurugram -122001
Lead Manager(s)
Registered Broker
The Jullundur Motor Agency Buyback opens on January 25, 2021, and closes on February 8, 2021.
The Jullundur Motor Agency Buyback last day to buy is not available as of now.
The Jullundur Motor Agency Buyback is a Tender Offer.
Jullundur Motor Agency Buyback Schedule
| Buyback Opening Date | January 25, 2021 |
| Buyback Closing Date | February 8, 2021 |
| Last Date for receipt of Tender Forms | February 10, 2021 |
| Finalisation of Buyback Acceptance | February 15, 2021 |
| Last Date for settlment of bids | February 16, 2021 |
| Last Date for Extinguishment of Shares | February 23, 2021 |
The Jullundur Motor Agency Buyback is being offered at Rs ₹36 per share.
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 38 Equity Shares out of every 93 Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 386 Equity Shares out of every 945 Equity Shares held on the Record Date. |
The issue size of Jullundur Motor Agency Buyback is 74,50,000 equity shares at ₹36 per share aggregating up to ₹26.82 Crores.
The Buyback is undertaken by the Company to:
i) Return surplus cash to its equity shareholders that are
over and above its ordinary capital requirements and in excess of any current investment plans.
ii) Improve financial ratios like earnings per share (EPS) and return on equity (ROE) by reducing the equity base of the Company
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 Jullundur Motor Agency 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.
