| Logo |  |  |
| Type of Buyback | Tender Offer | Tender Offer |
| Listing At | BSE, NSE | BSE, NSE |
| Face Value | ₹10 per share | ₹10 per share |
| Buyback Price | ₹460 per share | ₹380 per share |
| Issue Size | 14,13,000 shares | 26,31,578 shares |
| Issue Size (Amount) | ₹65.00 Crores | ₹100.00 Crores |
| Buyback Ratio | | Category | Entitlement Ratio | Shares Offered |
|---|
| Small Shareholders | 5 : 51 | 2,11,950 | | General Category | 9 : 175 | 12,01,050 |
Note: Small Shareholders are retail shareholders under SEBI regulations. General Category includes all other eligible shareholders. Entitlement ratio is based on fully paid-up equity shares held on the record date.
| | Category | Entitlement Ratio of Buyback | Shares Offered |
|---|
| Reserved Category for Small Shareholders | 39 Equity Shares out of every 415 Fully paid-up Equity Shares held on the Record Date. | 3,94,737 | | General Category for all other Eligible Shareholders | 23 Equity Shares out of every 248 Fully paid-up Equity Shares held on the Record Date. | 21,36,841 |
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| Registrar | Kfin Technologies Ltd. | RCMC Share Registry Pvt.Ltd. |
| Lead Managers | Motilal Oswal Investment Advisors Ltd. | New Berry Capitals Pvt.Ltd. |
| Necessity of the buyback |
- The Buyback will help the Company to distribute surplus cash to its shareholders holding Equity Shares thereby enhancing the overall return for them.
- The Buyback, which is being implemented through the tender offer route as prescribed under the Buy Back Regulations, would involve a reservation of up to 15% of the Equity Shares, which the Company proposes to buyback, for small shareholders or the actual number of Equity Shares entitled as per the shareholding of small shareholders on the Record Date, whichever is higher. The Company believes that this reservation for small shareholders would benefit a significant number of the Company’s public shareholders, who would be classified as “Small Shareholders.”
- The Buyback is generally expected to improve return on equity through distribution of cash and improve earnings per share by reduction in the equity base of the Company, thereby leading to long term increase in shareholders’ value.
- The Buyback gives an option to the Eligible Shareholders to either (A) participate in the Buyback and receive cash in lieu of their Equity Shares which are accepted under the Buyback, or (B) not to participate in the Buyback and get a resultant increase in their percentage shareholding in the Company post the Buyback, without additional investment.
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- The Buyback is expected to achieve the following objectives:
- Optimise return to shareholders:
- Enhance overall shareholders' value; and
- Optimise the capital structure.
- The Buyback will not in any manner impair the ability of the Company to pursue growth opportunities or meet its cash requirements for business operations.
- The Buy Back gives an option to the shareholders holding Equity Shares of the Company, to either (i) choose to participate and get cash in lieu of Equity Shares to be accepted under the Buy Back Offer or (ii) choose not to participate and enjoy a resultant increase in their percentage shareholding, post the Buy Back Offer, without additional investment.
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