To be a part of the buyback shareholder might be presented with a tender offer when he or she needs to submit all or a portion of the shares within the given time frame. Companies repurchase the shares from the open market and over the time frame at a certain time or at regular intervals. Company buyback shares with cash in hand or can fund buyback by taking debt as well.
Upcoming Buyback of Shares in 2024
Here is the list of Upcoming Buyback 2024 offers. Stay tuned for the latest Buyback of shares offer and stay invested in the primary market.
Company Name | Record Date | Open | Close | Price |
eClerx Services | 4 July, 2024 | 9 July, 2024 | 15 July, 2024 | ₹2800 |
Bajaj Consumer | 2 July, 2024 | 9 July, 2024 | 15 July, 2024 | ₹290 |
Godawari Power & Ispat | 28 June, 2024 | TBA | TBA | ₹301 |
Cheviot Company | 14 June, 2024 | 21 June, 2024 | 27 June, 2024 | ₹1800 |
Ajanta Pharma | 30 May, 2024 | TBA | TBA | ₹2771 |
Tips Industries | 22 April, 2024 | 26 April, 2024 | 3 May, 2024 | ₹625 |
Anand Rathi | 12 April, 2024 | TBA | TBA | ₹4450 |
Freshtrop Fruits | 2 April, 2024 | 8 April, 2024 | 15 April, 2024 | ₹175 |
Dwarikesh Sugar Industries | 20 Mar, 2024 | 26 Mar, 2024 | 2 April, 2024 | ₹105 |
Bajaj Auto | 29 Feb, 2024 | 6 Mar, 2024 | 13 Mar, 2024 | ₹10,000 |
Garware Technical | 12 Mar, 2024 | 18 Mar, 2024 | 25 Mar, 2024 | ₹3800 |
Shervani Industrial | 7 Mar, 2024 | 13 Mar, 2024 | 20 Mar, 2024 | ₹510 |
Zydus Lifesciences | 23 Feb, 2024 | TBA | TBA | ₹1,005 |
Kaveri Seed | 23 Feb, 2024 | TBA | TBA | ₹725 |
Orbit Exports | 13 Feb, 2024 | TBA | TBA | ₹250 |
Arnold Holdings | 25 Jan, 2024 | 1 Feb, 2024 | 7 Feb, 2024 | ₹21 |
Rajoo Engineers | 31 Jan, 2024 | 6 Feb, 2024 | 12 Feb, 2024 | ₹210 |
Chambal Fertilisers | 18 Jan, 2024 | 24 Jan, 2024 | 31 Jan, 2024 | ₹450 |
Dhampur Sugar Mills | 17 Jan, 2024 | 23 Jan, 2024 | 30 Jan, 2024 | ₹300 |
Elegant Marbles | 5 Jan, 2024 | 11 Jan, 2024 | 17 Jan, 2024 | ₹385 |
Atul Buyback 2023 | N/A | Nov 21, 2023 | Feb 23, 2024 | ₹7,500 |
What is Buyback?
A share buyback is a corporate action by the company to repurchase its own listed share to reduce the number of shares available in the stock market or open market. Companies come up with the share buyback for reasons such as to increase the value of remaining shares after the buyback by reducing the supply to the shareholders or we can say the companies controlling the stack in the open market via a buyback.
Understand the Share Buyback
The company is coming up with a Buyback offer to invest in its own entity. Through the buyback offer, the company reduces the number of shares in the market and increases its holding. If a company thinks that its share is undervalued then they come up with a buyback offer to provide its current investors with some good return. If the company stays bullish on its current operations and the business, the buyback will help the company to boost the proportion of earnings.
Sometimes the stock price may rise if the same price-to-earnings (P/E) ratio is maintained. There is another reason for the buyback that the shares of the buyback may be offered to the company’s employees and management with stock rewards and stock options. The company files the letter of offer to the SEBI and gets the approval for the share buyback. The company decided the ratio of shares, the number of shares, the buyback amount, the buyback type, the buyback record date for the investors, and the open and close dates. As per the buyback schedule company starts the buyback process in the open market.
Buyback Offer Types and How Buyback Works
There are two types of buyback offers such as tender offers and open market offers.
- Tender Offer: In this option, the company offers the shareholders to tender their shares at a premium (price decided by the company). If the investor is eligible for the buyback, they can apply for the same from their Demat or trading accounts. The company buys the shares as per the ratio decided b the company in the buyback offer.
- Open Market Offer: In this option, the company buys its shares from the open market from the exchanges. The shareholders can sell their shares in the time frame given by the company in the buyback offer. The open market buyback offers last for months as they buy the shares from the open market.
Why do Companies go for Share Buyback?
The investors can participate in the buyback offer till the window is open. Generally, the company gives a higher value of the share in the buyback. Let’s see one of the share buyback examples here: If ABC Limited is coming up with a buyback offer, they will make an offer at a price of Rs.1000 against the current price of Rs.600. So basically the investors will get the Rs.400 premium against the holding price. Investors who do not have the stocks in their Demat can buy it before the record date set by the company.
Reasons Why Companies Go For Buyback Offers.
- They want to reduce the number of shares in the open market.
- The company feels that the share price is undervalued.
- To improve the Company’s Shareholder values.
- To Boost share price in the open market.
- The company has Additional Cash in Hand.
Buyback FAQ:
What is a buyback?
A share buyback is a corporate action by the company to repurchase its own listed share to reduce the number of shares available in the stock market or open market.
How many types of Buyback Offers are there?
There are two types of buyback offers, (1) Tender Offer (2) Open Market Offer.
What is Buyback record date?
The record date is the date set in the buyback offer on which the shareholders should own the said companies stock in their demat account. If they have the stock in their demat account only then they will be eligible and will able to participate in buyback offer.