Tender Offer | ₹4.06 Crores | Listed at BSE | Wed, Feb 24, 2021 - Tue, Mar 9, 2021
Neelamalai Agro Industries Ltd. Buyback is a tender offer for the repurchase of up to 0.00 crore equity shares at a buyback price of ₹1600 per share with a face value of ₹10 per share, aggregating to ₹4.06 crores.
The record date for determining eligible shareholders is Feb 5, 2021. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Feb 24, 2021 and closes on Mar 9, 2021, with the last date for receipt of tender forms being Mar 9, 2021.
The finalisation of buyback acceptance is expected on Mar 18, 2021, followed by settlement of bids on Mar 19, 2021.
Saffron Capital Advisors Pvt.Ltd. is the Manager to the Buyback and Cameo Corporate Services Ltd. is the Registrar and Choice Equity Broking Private Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the Neelamalai Agro Industries Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Wed, Feb 24, 2021
Offer Closing Date
Tue, Mar 9, 2021
Buyback Price
₹1600 per share
Record Date
February 5, 2021
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 1 Equity Shares out of every 8 Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 8 Equity Shares held on the Record Date. |
| Particulars | For the year/period ended (Rs in Million) | ||
|---|---|---|---|
| 31-Mar-20 | 31-Mar-19 | 31-Mar-18 | |
| Total Income | 265.30 | 379.17 | 308.64 |
| Profit After Tax | 171.40 | 138.92 | 120.55 |
| Net Worth | 1,677.41 | 1,560.31 | 1,434.92 |
The Neelamalai Tea & Coffee Estates and Industries Limited, a part of the AVT group, was incorporated in 1943. Its name was changed to Neelamalai Agro Industries Limited in 1986. The company is mainly engaged in Tea plantation, cultivation, Tea manufacturing, sales, and export of Tea.
The company has two estates- Katary & Sutton Estates, located in the Nilgiris District in Tamil Nadu, spread across 635.56 Hectares. The factory follows good manufacturing practices and HACCP systems and produces Orthodox and CTC teas. However, currently, the factory manufactures only 100% Orthodox tea.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Dec-2020 | 1,487.25 | 1,349.00 | 1,418.13 |
| Nov-2020 | 1,287.70 | 1,009.00 | 1,148.35 |
| Sep-2020 | 993.15 | 945.90 | 969.53 |
The Buy-back is being undertaken by the Company to:
i) Improve key financial ratios;
ii) Return part of surplus cash, back to shareholders ;
iii) Improve earnings per share;
iv) Reduce outstanding shares; and
v) Enhance return on invested capital.
Neelamalai Agro Industries Ltd.
Katary Estate, Katary P.O.,
Coonoor, The Nilgiris, Nilgiri
Nilgiris, Tamil Nadu
Lead Manager(s)
Registered Broker
The Neelamalai Agro Buyback opens on February 24, 2021, and closes on March 9, 2021.
The Neelamalai Agro Buyback last day to buy is not available as of now.
The Neelamalai Agro Buyback is a Tender Offer.
Neelamalai Agro Buyback Schedule
| Buyback Opening Date | February 24, 2021 |
| Buyback Closing Date | March 9, 2021 |
| Last Date for receipt of Tender Forms | March 9, 2021 |
| Finalisation of Buyback Acceptance | March 18, 2021 |
| Last Date for settlment of bids | March 19, 2021 |
| Last Date for Extinguishment of Shares | March 26, 2021 |
The Neelamalai Agro Buyback is being offered at Rs ₹1600 per share.
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 1 Equity Shares out of every 8 Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 8 Equity Shares held on the Record Date. |
The issue size of Neelamalai Agro Buyback is 25,350 equity shares at ₹1600 per share aggregating up to ₹4.06 Crores.
The Buy-back is being undertaken by the Company to:
i) Improve key financial ratios;
ii) Return part of surplus cash, back to shareholders ;
iii) Improve earnings per share;
iv) Reduce outstanding shares; and
v) Enhance return on invested capital.
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 Neelamalai Agro 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.
