Tender Offer | ₹37.19 Crores | Listed at BSE, NSE | Fri, Apr 26, 2024 - Fri, May 3, 2024
Tips Industries Ltd. Buyback is a tender offer for the repurchase of up to 0.06 crore equity shares, representing 0.46% of the total paid-up equity share capital at a buyback price of ₹625 per share with a face value of ₹1 per share, aggregating to ₹37.19 crores.
The record date for determining eligible shareholders is Apr 22, 2024. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Apr 26, 2024 and closes on May 3, 2024, with the last date for receipt of tender forms being May 3, 2024.
The finalisation of buyback acceptance is expected on May 10, 2024, followed by settlement of bids on May 10, 2024.
Inga Ventures Pvt.Ltd. is the Manager to the Buyback and MUFG Intime India Pvt.Ltd. is the Registrar and ITI Securities Broking Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the Tips Industries Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Fri, Apr 26, 2024
Offer Closing Date
Fri, May 3, 2024
Buyback Price
₹625 per share
Record Date
April 22, 2024
| Category | Entitlement Ratio of Buyback | Shares Offered |
|---|---|---|
| Reserved Category for Small Shareholders | 11 Equity Shares out of every 444 Fully paid-up Equity Shares held on the Record Date. | 89,250.00 |
| General Category for all other Eligible Shareholders | 11 Equity Shares out of every 931 Fully paid-up Equity Shares held on the Record Date. | 505,750.00 |
Tips Industries Limited's revenue increased by 38.43% and profit after tax (PAT) rose by 18.54% 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 | 227.66 | 192.70 | 146.78 | 150.10 |
| Revenue | 187.39 | 192.14 | 138.80 | 95.42 |
| Profit After Tax | 101.40 | 76.52 | 64.56 | 43.46 |
| Net Worth | 192.41 | 135.96 | 102.16 | 100.91 |
| Amount in ₹ Crore | ||||
Tips Industries Limited was founded in 1975 and is one of India's largest entertainment companies engaged in the production, promotion and distribution of music and films.
Initially, the company dealt in gramophone records, recorded audio cassettes, blank audio cassettes and replicated CDs. The company owns more than 3500 titles and copyrights of numerous Hindi films, of which at least 10 are among the 10 million sellers, more than 15 have sales of more than 5 million and another 20 have sales of around one million. Tips also owns the soundtrack copyrights to at least 50 Hindi films.
Tips Industries has its own manufacturing facility and distribution system. These factories have digital mastering facilities, operate on a just-in-time inventory management system and utilise in-house logistics facilities to supply more than 1,50,000 cassettes per day to the Indian market. The company also has a global presence with offices in the USA, Dubai and the UK.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Mar-2024 | 527.95 | 402.40 | 477.20 |
| Feb-2024 | 531.10 | 395.55 | 459.46 |
| Jan-2024 | 438.35 | 335.60 | 385.52 |
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Mar-2024 | 529.00 | 401.15 | 477.33 |
| Feb-2024 | 530.95 | 396.00 | 459.44 |
| Jan-2024 | 438.40 | 335.95 | 385.54 |
Buyback is being undertaken, inter-alia, for the following reasons:
Tips Industries Ltd.
601, Durga Chambers,
6th Floor, Linking Road,
Khar (West), Mumbai - 400 052
Mumbai, Maharashtra, 400052
Lead Manager(s)
Registered Broker
The Tips Industries Buyback 2024 opens on April 26, 2024, and closes on May 3, 2024.
Last date to be eligible to participate in buyback is April 19, 2024.
The Tips Industries Buyback 2024 is a Tender Offer.
Tips Industries Buyback 2024 Schedule
| Buyback Opening Date | April 26, 2024 |
| Buyback Closing Date | May 3, 2024 |
| Last Date for receipt of Tender Forms | May 3, 2024 |
| Finalisation of Buyback Acceptance | May 10, 2024 |
| Last Date for settlment of bids | May 10, 2024 |
| Last Date for Extinguishment of Shares | May 23, 2024 |
The Tips Industries Buyback 2024 is being offered at Rs ₹625 per share.
| Category | Entitlement Ratio of Buyback | Shares Offered |
|---|---|---|
| Reserved Category for Small Shareholders | 11 Equity Shares out of every 444 Fully paid-up Equity Shares held on the Record Date. | 89,250.00 |
| General Category for all other Eligible Shareholders | 11 Equity Shares out of every 931 Fully paid-up Equity Shares held on the Record Date. | 505,750.00 |
The issue size of Tips Industries Buyback 2024 is 5,95,000 equity shares at ₹625 per share aggregating up to ₹37.19 Crores.
Buyback is being undertaken, inter-alia, for the following reasons:
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 Tips Industries 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.
