Garware Technical Fibres Limited Buyback 2024
Established in 1976, Garware Technical Fibres Ltd. (Formerly Garware-Wall Ropes Ltd.) is one of India’s leading players in the technical textiles sector. The company has a global presence with customers spread across 75 countries. The company offers solutions for Fisheries, Aquaculture, Shipping, Yarns & Thread, Sports, Coated fabric, agriculture and Geosynthetics.
The company is a multi-divisional, multi-geographical technical textiles company and is known for providing world-class innovative solutions in high-performance aquaculture cage nets, fishing nets, sports nets, safety nets, agricultural nets, coated fabrics, polymer ropes and geosynthetics.
Buy Back Offer Deal:
| Buyback Type: | Tender Offer |
| Buyback Record Date: | Mar 12 2024 |
| Buyback Opening Date: | Mar 18 2024 |
| Buyback Closing Date: | Mar 25 2024 |
| Buyback Offer Amount: | ₹ 199.50 Cr |
| Date of Board Meeting approving the proposal: | Jan 29 2024 |
| Date of Public Announcement: | Jan 29 2024 |
| Buyback Offer Size: | 2.58% |
| Buyback Number of Shares: | 5,25,000 |
| Price Type: | Tender Offer |
| FV: | 10 |
| Buyback Price: | ₹ 3800 Per Equity Share |
Details of Buyback:
The proposal to buyback not exceeding 5,25,000 (Five Lakh Twenty-Five Thousand) equity shares of the Company (representing 2.58% of the total number of equity shares in the paid-up share capital of the Company) at a price of Rs. 3800/- (Rupees Three Thousand Eight Hundred only) per equity share payable in cash for an aggregate consideration not exceeding Rs. 199,50,00,000 (Rupees One Hundred Ninety Nine Crores Fifty Lakhs only).
Salient financial parameters:
|
Particulars (In Cr)
|
Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 |
| Sales + | 1,018 | 953 | 1,035 | 1,189 | 1,306 |
| Expenses + | 826 | 775 | 830 | 966 | 1,076 |
| Operating Profit | 192 | 178 | 204 | 223 | 230 |
| OPM % | 19% | 19% | 20% | 19% | 18% |
| Other Income + | 21 | 32 | 35 | 25 | 28 |
| Interest | 14 | 12 | 10 | 11 | 12 |
| Depreciation | 17 | 19 | 21 | 21 | 22 |
| Profit before tax | 182 | 179 | 208 | 216 | 223 |
| Tax % | 31% | 21% | 24% | 24% | 23% |
| Net Profit + | 126 | 141 | 158 | 165 | 172 |
| EPS in Rs | 57.44 | 64.22 | 76.83 | 79.92 | 84.5 |
|
Dividend Payout %
|
9% | 26% | 3% | 9% | 4% |
How to Participate in buyback?
1. Firstly, to be eligible for the buyback the investor should have shares of Garware Technical Fibres Limited in Demat or physical form as on the record date [12-03-2024].
2. Once you have shares in Demat, you can participate in the buyback process which is opening from [To be updated] by selling your shares through your broker on NSE or BSE.
3. Then on [To be updated], the payment will be given to you for accepted shares and unaccepted shares will be returned to your Demat account.
Profit from the buyback on the bases of acceptance Ratio:
Buy 52 Shares at CPM of Rs. 3660 (2,00,000/3800)
| Acceptance Ratio | 33% | 50% | 75% | 100% |
| Amount Invested in Buyback | 190320 | 190320 | 190320 | 190320 |
| No. of Shares Buyback | 17 | 26 | 39 | 52 |
| Buyback Profit | 2380 | 3640 | 5460 | 7280 |
| Profit% | 1.25% | 1.91% | 2.87% | 3.83% |
28 Comments
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1 share accepted in all 5 accounts. 1 share strategy works here
AR same as ER
Will one share strategy work??
Might not work.
AR will probably be very close to ER.
Last day to tender for Buyback is 5th April.
1 share likely to be accepted.
👍
Entitlement email received.Tendering from 1-4-24.
E R is 12.5 percent in my case.Better than expected.
RECORD DATE AD OTHER IFORMATION IS WRONG PLEASE UPDATE
Bought 28 after the price fall and decided to participate since nothing better is available now.
I think record date of Garware tech fiber is 26 March. Please confirm as we are showing 12 March here
You are correct. I have checked in the BSE website, it has been changed from Tuesday, March 12, 2024 to Tuesday, March 26, 2024
Should we go for this buyback …. please suggest ?
How many share available for retailers ???
In the total buyback shares of 5,25,000, 15 percent (78750) will be available for buyback to retail quota.
Buyback size small and margin less, so it is a avoid
https://marketstranger.blogspot.com/2024/01/garware-technical-fibres-ltd-buyback.html
as the size is small. will one share strategy work?
No guarantee that it will work. There is a lot of awareness these days.
will one share strategy work here ??
Not much gain – Only 3.79%, Better to wait for falling under 3300… to buy for buyback..
Very good suggestion,Sumit ji.Will buy just one above the suggested price.
Last year buyback amount was a pathetic 30 crore and another humble 1. something was the size .
₹30 crore stand corrected as ₹90 crore. Buyback price was 3750/ and no of shares were 240000/ ( two lack forty thousand only) .
Also, the share price at the time of announcement last time was around 3500 and then trended down to 2650 over the next few months.
what will be the Buyback price any guess?