Kaveri Seed Buyback 2022 vs Shyam Century Ferrous Buyback

The buyback is being undertaken for the following reason:

1. The Buy-back is being undertaken by the Company to return surplus funds to the equity shareholders of the Company.

2. The Company believes that the Buy-back will improve return on equity, by reducing in equity base, thereby leading to a long-term increase in the value of shareholders.

Necessity of the buyback :

1. The Buyback will 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.

2. The Buyback would help in improving return on equity, by reduction in the equity base, thereby leading to long term increase in shareholders' value;

3. The Buyback would help in optimizing the capital structure.