India’s biggest IT services firm Tata Consultancy Services (TCS) on Wednesday stated its up to Rs 16,000-crore share buyback programme will commence on December 18 and close on January 1, 2021.
Last month, TCS shareholders had authorized a proposal to purchase back up to 5,33,33,333 equity shares of the organization at Rs 3,000 per scrip for an aggregate quantity not exceeding Rs 16,000 crore.
“In accordance with the SEBI (Buy-back of Securities) Regulations, 2018, the Letter of Offer will be dispatched to eligible shareholders on or before December 15, 2020. The record date for this purpose is November 28, 2020…,” TCS stated in a regulatory filing on Wednesday.
It integrated a schedule of activities connected to the buyback, which showed date of opening of the buyback offer you as December 18, 2020 and closing as January 1, 2021.
The final date of settlement of bids on the stock exchanges is January 12, 2021.
TCS’ smaller sized rival Wipro has also announced a buyback strategy for up to Rs 9,500-crore at Rs 400 per equity share.
TCS CEO and Managing Director Rajesh Gopinathan had earlier stated the organization is focused on its policy to return capital to shareholders.
The Mumbai-primarily based company’s money reserves stood at Rs 58,500 crore as of September 2020.
Last year, TCS had supplied a unique dividend and this time it is undertaking a buyback, he had noted.
In October final year, TCS’ board had declared a unique dividend of Rs 40 per equity share. In 2018, TCS had undertaken a share buyback of about Rs 16,000 crore, even though it had carried out a comparable share obtain physical exercise in 2017 also.