Tender Offer | ₹29.99 Crores | Listed at BSE, NSE | Mon, Sep 20, 2021 - Fri, Oct 1, 2021
R Systems International Ltd. Buyback is a tender offer for the repurchase of up to 0.13 crore equity shares at a buyback price of ₹225 per share with a face value of ₹1 per share, aggregating to ₹29.99 crores.
The record date for determining eligible shareholders is Aug 27, 2021. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Sep 20, 2021 and closes on Oct 1, 2021, with the last date for receipt of tender forms being Oct 1, 2021.
The finalisation of buyback acceptance is expected on Oct 11, 2021, followed by settlement of bids on Oct 12, 2021.
Motilal Oswal Investment Advisors Ltd. is the Manager to the Buyback and MUFG Intime India Pvt.Ltd. is the Registrar and Motilal Oswal Financial Services Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the R Systems International Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Mon, Sep 20, 2021
Offer Closing Date
Fri, Oct 1, 2021
Buyback Price
₹225 per share
Record Date
August 27, 2021
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 1 Equity Shares out of every 14 fully paid-up Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 103 fully paid-up Equity Shares held on the Record Date. |
| Particulars | For the year/period ended (Rs. in Millions) | ||
|---|---|---|---|
| 31-Dec-20 | 31-Dec-19 | ||
| Total Income | 4,513.08 | 4,064.40 | |
| Profit After Tax | 697.07 | 514.95 | |
| Net Worth | 3,428.91 | 2,746.92 | |
| Reserves and Surplus | 3,309.27 | 2,627.32 | |
Established in 1993, Rsystems is a global provider of AI-driven services and solutions to clients across industries. The company delivers its services and solutions to five major business verticals - Technology, Telecom, Healthcare & Life Science, Finance & Insurance, and Retail & E-commerce. The Company has a branch office in the U.S.A. including 25+ offices worldwide.
The company has a 3000+ workforce with more than 1000 clients.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Jul-2021 | 211.45 | 147.25 | 171.82 |
| Jun-2021 | 167.00 | 130.00 | 143.13 |
| May-2021 | 156.85 | 114.60 | 134.09 |
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Jul-2021 | 211.95 | 150.55 | 171.66 |
| Jun-2021 | 167.00 | 130.45 | 143.06 |
| May-2021 | 155.00 | 113.15 | 133.90 |
The Buyback aims to:
i) help the Company to distribute surplus cash to its shareholders holding Equity Shares broadly in proportion to their shareholding, thereby, enhancing the overall return to shareholders.
ii) in improving financial ratios like earnings per share and return on equity, by reducing the equity base of the Company.
R Systems International Ltd.
GF-1-A,
6, Devika Tower,
Nehru Place, New Delhi - 110019
New Delhi, New Delhi, 110019
Lead Manager(s)
Registered Broker
The Rsystems Buyback opens on September 20, 2021, and closes on October 1, 2021.
The Rsystems Buyback last day to buy is not available as of now.
The Rsystems Buyback is a Tender Offer.
Rsystems Buyback Schedule
| Buyback Opening Date | September 20, 2021 |
| Buyback Closing Date | October 1, 2021 |
| Last Date for receipt of Tender Forms | October 1, 2021 |
| Finalisation of Buyback Acceptance | October 11, 2021 |
| Last Date for settlment of bids | October 12, 2021 |
| Last Date for Extinguishment of Shares | October 19, 2021 |
The Rsystems Buyback is being offered at Rs ₹225 per share.
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 1 Equity Shares out of every 14 fully paid-up Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 103 fully paid-up Equity Shares held on the Record Date. |
The issue size of Rsystems Buyback is 13,33,000 equity shares at ₹225 per share aggregating up to ₹29.99 Crores.
The Buyback aims to:
i) help the Company to distribute surplus cash to its shareholders holding Equity Shares broadly in proportion to their shareholding, thereby, enhancing the overall return to shareholders.
ii) in improving financial ratios like earnings per share and return on equity, 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 Rsystems 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.
