Is it legal for companies to buy back shares?

SME IPO Enquiry

SME Company Owners
We could help you get listed on the stock market.

Yes, it is legal in India for companies to buy back shares post implementation of Buyback of Securities Regulations by SEBI in 1998.

The companies are required to abide by the norms laid down by the SEBI Buyback of Securities Regulations and Companies Act to be eligible or carry out a buyback of shares.

A company could buy back shares worth 25% of the paid-up equity capital and the free reserves of the company.

SME IPO Enquiry

Topic: Introduction to Buyback of shares Feedback

Comments

Add a public comment...

Find more questions on this topic

What is buyback of shares in stock market?
Is buyback good for investors?
Which government authority monitors the buyback of shares?
Is buyback a reduction of capital?
Can buyback be cancelled?
What is the buyback of shares and their advantages?
Why does a company do buyback?
What are the different types of shares that can be bought back?
Where can one get details of companies offering a buyback?
What is share buyback meaning?
Is share buyback compulsory?
What does buyback of shares mean?
Which types of shares can be bought back?

Ask Your Question