Sinclairs Hotels Buyback vs SMC Global Securities Buyback

The buyback is being undertaken for the following reason:

1. The Buyback 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 shareholders.

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

The buyback aims to utilize the net proceeds towards the following objectives:

• To improve the return on equity through the distribution of cash.
• To improve earnings per share by reducing the equity base, thereby leading to a long-term increase in the value of shareholders.
• The Buyback offer is a strategic decision of the company taken based on the assimilation of the operational cash needs in the medium term and for returning surplus funds to the members effectively and efficiently.