[ad_1]
Wipro Share Buyback: Along with the announcement of the quarterly results, the board of Wipro has approved the share buyback. The company will buy back shares equal to the value of Rs 12,000 crore. The company has announced that this buyback will be done at a price of Rs 445 per share. That is, from the current level, investors will get a return of 19 percent on surrendering their shares.
In the board meeting, the directors of the company will buy back 269,662,921 shares, which is equivalent to 4.91 per cent equity shares of the company. The company has decided that this buyback will be done through the tender route. Wipro said in its statement that buyback of shares is proposed from existing shareholders. Shares will be bought back in proportion on the record date basis through the tender offer route.
In the coming days, Wipro will announce the buyback process, record date, timeline and other details. Wipro’s promoters have also expressed their willingness to participate in the buyback. However, it will depend on the approval of the shareholders through postal ballot. The promoters of the company hold 72.92 per cent stake. Foreign investors hold 6.42 per cent and mutual funds hold 2.74 per cent.
Wipro’s stock has been trading in a narrow range for a long time. The stock has fallen by 30 per cent in one year and by 21 per cent in two years. Investors are showing indifference regarding Wipro’s stock. To improve the sentiment of Wipro’s stock, the company has decided to buy back the shares.
Investors who have Wipro shares can surrender the shares in buyback to earn better profits. The last time Wipro came up with a share buyback scheme in 2002-21. Then the companies associated with Azim Premji had tendered 22.89 crore shares worth Rs 9156 crore. Then the company did share buyback at Rs 400 per share. In 2019, the company did buyback at the rate of Rs 325 per share.
read this also
[ad_2]
Source link