Ajanta Pharma Buyback 2021
(i) Ajanta Pharma is a specialty pharmaceutical company engaged in the development, manufacturing, and marketing of quality finished dosages. Committed to ‘Serve Health Care Needs Worldwide’, they produce a comprehensive range of specialty products targeting different therapeutic segments for the treatment of patients, customized to each market.
(ii) Their business includes Branded Generics in emerging markets of Asia and Africa, Generics in the developed markets of USA and Institution sales.
(iii) The branded generics business is spread in India and more than 30 emerging countries across Africa, CIS, the Middle East and South East Asia. In India, they have a presence in high growth specialty segments of cardiology, dermatology, ophthalmology and pain management where they have been able to provide consistently innovative products, many being 1st to the market, for patient convenience and compliance.
Buy Back Offer Deal:
| Buyback Type: | Tender Offer |
| Buyback Record Date: | Jan 14 2022 |
| Buyback Opening Date: | Feb 03 2022 |
| Buyback Closing Date: | Feb 16 2022 |
| Buyback Offer Amount: | ₹ 285.60 Cr |
| Date of Board Meeting approving the proposal: | Dec 28 2021 |
| Date of Public Announcement: | Dec 28 2021 |
| Buyback Offer Size: | 1.29% |
| Buyback Number of Shares: | 11,20,000 |
| Price Type: | Tender Offer |
| FV: | 2 |
| Buyback Price: | ₹ 2550 Per Equity Share |
Details of Buyback:
Salient financial parameters:
| Particulars (Cr) | Mar-15 | Mar-16 | Mar-17 | Mar-18 | Mar-19 | Mar-20 | Mar-21 |
| Sales | 1,474 | 1,749 | 1,983 | 2,126 | 2,055 | 2,588 | 2,890 |
| Expenses | 969 | 1,161 | 1,292 | 1,467 | 1,489 | 1,904 | 1,889 |
| Operating Profit | 504 | 589 | 691 | 658 | 567 | 683 | 1,001 |
| OPM % | 34% | 34% | 35% | 31% | 28% | 26% | 35% |
| Other Income | 9 | 20 | 20 | 24 | 21 | 88 | 24 |
| Interest | 6 | 5 | 1 | 0 | 1 | 12 | 8 |
| Depreciation | 52 | 44 | 61 | 60 | 72 | 96 | 116 |
| Profit before tax | 456 | 559 | 648 | 623 | 514 | 664 | 900 |
| Tax % | 32% | 26% | 22% | 25% | 25% | 30% | 27% |
| Net Profit | 310 | 416 | 507 | 469 | 387 | 468 | 654 |
| EPS in Rs | 35.25 | 47.23 | 57.59 | 53.25 | 44.35 | 53.6 | 75.56 |
| Dividend Payout % | 17% | 17% | 23% | 0% | 20% | 24% | 13% |
How to Participate in buyback?
Profit from the buyback on the bases of acceptance Ratio:
| Acceptance Ratio | 33% | 50% | 75% | 100% |
| Amount Invested in Buyback | 1,76,592 | 1,76,592 | 1,76,592 | 1,76,592 |
| No. of Shares buyback | 25 | 39 | 59 | 78 |
| BuyBack Profit | 7150 | 11154 | 16874 | 22308 |
| Profit | 4.0% | 6.3% | 9.5% | 12.6% |
Recommendation:
46 Comments
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AR is 54% for ajanta pharma
Ajanta Pharma Rs 1888… Hope everyone comes out in some profit… Not good profit expected for the investors who bought only for Buyback…
Can anyone please share the final bidding particulars of the shares submitted for the buyback of Ajanta? Thank you.
Hi,
1. can anyone tell how to tender the eligible shares in buyback. I mean, will it be possible thru online.
2. Can I tender eligible shares as well as balance shares in this buyback offer.
Depend upon broker to broker. Some brokers like Zerodha allows online. Angel Broking sends an email to apply. So, better to ask the broker.
I am new to buyback and got 1 share of Ajanta pharma last month to participate in buyback for the first time. I got email today from company as below. can anyone pls confirm if I am eligible for buyback since entitlement for buy back shows 0.
Number of Equity Shares held by you on the Record Date being Friday, January 14, 2022 = 1
Entitlement for Buy-back Offer in terms of number of Equity Shares = 0
Apply kardo ek share…
ER declared
Tender date 3rd feb to 16 feb 22
1) ER for Retail Shareholders (20%)
30 Equity Shares out of every 151 fully paid-up Equity
2. General category for all other Eligible Shareholders (1.09%)
1 Equity Share out of every 91 fully paid-up Equity Shares
I have not yet received a mail…I had 20 shares with me which I sold on 13th January. Will I be eligible?
Tomorrow (12/01/2022) is last day to buy for been eligible for Buyback.
Hope fully price would reach 2323 before that, my target price to completely quit.
Sumit ji,
Your target price of Rs.2323/- is already reached today. I presume that you have not placed sell order in the opening of the trading hours. Thank you n all the best.
Yes, but would quit today.
Thanks…
Ajanta Pharma 2294.. Time to sell. some 3.5% profit… Better than getting into all Buyback things?
Please suggest
Sumit ji,
Today I have sold the excess 14 shares @ Rs. 2293/-. However, the share price is likely to touch at least Rs. 2325 if not Rs. 2350/- during the next week. Thank you.
Thanks SRK ji. I would now sell 50% at ~2300 and 50% at ~2323 instead of putting in buyback, as same would also yield 3-5% only with higher risk..
Sir,
Any update that can be shared? Thank you.
Ajanta at 2205? Good time to buy?
SRK Sir and other dear learned members, Kindly suggest.
I think 2150 could be a good opportunity….
Sir,
If you can get at that price, you will definitely be benefitted reasonably more than many investors who have already purchased at a higher rate. All the best.
Sir,
Today I have purchased some shares @Rs.2200/-.
Sumit ji,
Today I have purchased some shares @Rs.2200/-. I think it is a fair price. Thank you.
Thanks. I also purchase some 30 shares today.. Would wait for 2180 or lower for buying more and would sell at 2300, if it comes before buyback…
Sumit ji,
I am also planning to purchase around 50 shares if available @ not more than Rs.2170/- before 07/01. I am quite confident that the price will reach around Rs.2300/- by 11/01. Thank you.
Already touched the price of Rs.2315/- on 10/01 itself.
Pls suggest how much ARE. Possible in this buyback.
Sir,
Around 35% AR can be expected. In 2020, the AR was 39%. Thank you n all the best.
I pray God to bless you all with a very very happy, healthy, wealthy, successful n prosperous new year. All the best n best of luck.
Ajanta Pharma
Buyback price. Rs.2550/-
Mode of the Buyback. Through Tender Offer
Record Date. 14/01/2022
Buyback Size. 11,20,000 shares
In the last year’s Buyback the AR was 39% in Retail Category. I am positive @ Rs.2200/- to Rs.2250/-. All the best to all of you. Thank you.
Sir,
Should buy at the current rate or wait for market correction till 14/01??
Current rate is only 12-13% lower than the buyback rate, which can be wiped / added in 1-2 days…
Please suggest.
Sir,
Only 22 shares are executed at the average price of Rs.2208/-regarding my buying order today. Around Rs.2200/-, we may purchase 40 shares and we may wait for the price of Rs.2150/- for another 40 shares. That’s my strategy. I solicit your valuable views in this regard. Thank you.
Sir, is the buyback size same as last time?
Sir,
The size of the buyback of 2020 is 7,35,000 shares
ER of Nuclues soft is around 15.5% in retail category.
Yes it is
59 from 389
Last Year Ajanta Pharma had 39% acceptance in retail.
Sir,
Reasonably good AR. The unaccepted shares have also not given any bad impact regarding the price. Thank you.
What will be AR for nucleus software now?
Sir,
If AR is more than 40% in retail category, it will definitely be treated as reasonably good. But I doubt whether it reaches 40%.
Great to see Ajanta Pharma so quick.
Heard of Mahindra Home and GE shipping also?
Experts kindly comment on profit possibility in each…
Should enter now?
GE was through market and Mahindra Home is private..
So not really discussable..
Sir,
Though I am not an expert, I would like to share my views. Ajanta is likely to be more beneficial as the chances of reduction in the price of the unaccepted shares are expected to be low. Regarding GE, it was through open offer in 2019. Further, the share price is so fluctuating and hence a bit risky.
However, on knowing the details of the Buybacks only we can take a decision. Thank you.
Sir,
Kindly share your views on knowing the details of the buyback.
AJANTA PHARMA LTD.has informed BSE that the meeting of the Board of Directors of the Company is scheduled on 28/12/2021 ,inter alia, to consider and approve Pursuant to Regulation 29(1)(b) of the Listing Regulations, we hereby inform that meeting of the Board of Directors of the Company is scheduled on Tuesday, 28th December 2021 to consider a proposal for buy-back of equity shares including matters related /incidental thereto.
Sir,
Kindly share your views on knowing the details of the buyback.