Tender Offer | ₹200.00 Crores | Listed at BSE, NSE | Tue, Jun 22, 2021 - Mon, Jul 5, 2021
Welspun India Ltd. Buyback is a tender offer for the repurchase of up to 1.67 crore equity shares at a buyback price of ₹120 per share with a face value of ₹1 per share, aggregating to ₹200.00 crores.
The record date for determining eligible shareholders is May 26, 2021. Shareholders holding equity shares as on the record date are eligible to participate in the buyback.
The buyback opens on Jun 22, 2021 and closes on Jul 5, 2021, with the last date for receipt of tender forms being Jul 7, 2021.
The finalisation of buyback acceptance is expected on Jul 13, 2021, followed by settlement of bids on Jul 14, 2021.
Dam Capital Advisors Ltd. is the Manager to the Buyback and MUFG Intime India Pvt.Ltd. is the Registrar and DAM Capital Advisors Limited is the Registered Broker to the Buyback.
Investors are advised to refer to the Welspun India Ltd. Letter of Offer for detailed information, including eligibility criteria, entitlement ratio, acceptance methodology, and tax implications.
Offer Opening Date
Tue, Jun 22, 2021
Offer Closing Date
Mon, Jul 5, 2021
Buyback Price
₹120 per share
Record Date
May 26, 2021
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 43 Equity Shares out of every 469 fully paid-up Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 69 fully paid-up Equity Shares held on the Record Date. |
| Particulars | For the year/period ended (Rs. in Millions) | ||
|---|---|---|---|
| 31-Mar-21 | 31-Mar-20 | 31-Mar-19 | |
| Total Income | 60,395.66 | 53,667.09 | 54,783.04 |
| Profit After Tax | 5,266.70 | 4,748.92 | 1,417.65 |
| Net Worth | 31,433.21 | 26,117.12 | 22,942.79 |
Welspun India Limited is engaged in the business of manufacturing home textiles . The company products include Line Pipes, Home Textile Products, Infrastructure, Warehousing, Steel, Oil & Gas, Advanced Textiles, and Flooring solutions. The company is also planning to expand into e-commerce, hospitality, and wellness.
Welspun India has its manufacturing facilities in India with over 26,000 home textile manufacturers that supply products to the domestic markets and exporting to global retailers. The company also has a global presence in over 50 countries.
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Apr-2021 | 87.90 | 75.55 | 80.30 |
| Mar-2021 | 87.60 | 67.35 | 77.50 |
| Feb-2021 | 74.90 | 65.70 | 68.60 |
| Month | High Price | Low Price | Average Price |
|---|---|---|---|
| Apr-2021 | 87.50 | 75.55 | 80.40 |
| Mar-2021 | 87.60 | 67.40 | 77.60 |
| Feb-2021 | 75.00 | 65.40 | 68.60 |
The Buyback aims to :
i) Return surplus cash to the shareholders and enhance overall return to the shareholders.
ii) Improve Return on Equity, Earnings per share, enhance return on invested capital, and thereby enhance shareholder value in the long term.
Welspun India Ltd.
Welspun House,
6th Floor, Kamala City, Senapati Bapat Marg,
Lower Parel (West), Mumbai- 400 013
Mumbai, Maharashtra, 400013
Lead Manager(s)
Registered Broker
The Welspun India Buyback opens on June 22, 2021, and closes on July 5, 2021.
The Welspun India Buyback last day to buy is not available as of now.
The Welspun India Buyback is a Tender Offer.
Welspun India Buyback Schedule
| Buyback Opening Date | June 22, 2021 |
| Buyback Closing Date | July 5, 2021 |
| Last Date for receipt of Tender Forms | July 7, 2021 |
| Finalisation of Buyback Acceptance | July 13, 2021 |
| Last Date for settlment of bids | July 14, 2021 |
| Last Date for Extinguishment of Shares | July 21, 2021 |
The Welspun India Buyback is being offered at Rs ₹120 per share.
| Category | Entitlement Ratio of Buyback |
|---|---|
| Reserved Category for Small Shareholders | 43 Equity Shares out of every 469 fully paid-up Equity Shares held on the Record Date. |
| General Category for all other Eligible Shareholders | 1 Equity Shares out of every 69 fully paid-up Equity Shares held on the Record Date. |
The issue size of Welspun India Buyback is 1,66,66,666 equity shares at ₹120 per share aggregating up to ₹200.00 Crores.
The Buyback aims to :
i) Return surplus cash to the shareholders and enhance overall return to the shareholders.
ii) Improve Return on Equity, Earnings per share, enhance return on invested capital, and thereby enhance shareholder value in the long term.
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 Welspun 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.
