eClerx Services Buyback 2022 vs Jenburkt Pharmaceuticals Buyback

The Buy Back is being proposed by the company for fulfilling the following objectives:

1. The Buy Back will help the Company to return surplus cash to its shareholders holding Equity Shares broadly in proportion to their shareholding, thereby, enhancing the overall return to the shareholders.
2. The Buy Back may help in improving return on equity due to reduction in the equity base, thereby leading to long term increase in shareholder value.
3. The Buy Back will help in achieving an optimal capital structure.

The buyback is being undertaken for the following reason:

• The company is expected to achieve the objective of returning surplus funds to the shareholders, improving return on equity through distribution of surplus funds, improving earnings per share by reduction in equity base and increasing shareholders' value in the long term by improving key return ratios.

• The Buyback will lead to reduction in outstanding Equity Shares of the Company, improvement in 'earnings per share' and enhanced return on equity.