NIIT BuyBack 2020
Buy Back Offer Deal:
|Buyback Type:||Tender Offer|
|Buyback Record Date:||Feb 24 2021|
|Buyback Opening Date:||Apr 12 2021|
|Buyback Closing Date:||Apr 28 2021|
|Buyback Offer Amount:||₹ 237 Crores|
|Date of Board Meeting approving the proposal:||Dec 24 2020|
|Date of Public Announcement:||Dec 24 2020|
|Buyback Offer Size:||6.798%|
|Buyback Number of Shares:||9,875,000|
|Price Type:||Tender Offer|
|Buyback Price:||₹ 240 Per Equity Share|
Details of Buyback:
The company approved a proposal for buyback of up to 9,875,000 fully paid-up Equity Shares of the Company of face value Rs. 2 each, being 6.798% of the total issued and paid-up equity share capital of the Company as per the audited consolidated and standalone condensed interim financial statements ("Audited Condensed Interim Financial Statements") as on 31.03.2020, for an aggregate amount not exceeding Rs. 237 Cr, which is not exceeding 25% of the aggregate of the total issued and paid-up equity share capital and free reserves as per the Audited Condensed Interim Financial Statements of the Company as at and for the period as on 31.03.2020 at Rs. 240 per share via " Tender Route".
Salient financial parameters:
|Profit before tax||-166||7||61||84||114||1,383|
|EPS in Rs||-8.39||4.06||2.47||3.75||5.17||93.81|
How to Participate in buyback?
1. Firstly, to be eligible for the buyback the investor should have shares of NIIT Limited Buyback 2020 in demat or physical form as on the record date [24.02.2021] 2. Once you have shares in demat, you can participate in the buyback process which is opening from [12.04.2021 to 28.04.2021] by selling your shares through your broker on NSE or BSE. 3. Then on [07.05.2021] , 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 833 Shares at CMP of Rs. 199 [2,00,000/240=833)
|Amount Invested in Buyback||1,65,767||1,65,767||1,65,767||1,65,767|
|No. of Shares buyback||249||416||624||833|
Review and Recommendation of NIIT Limited 2020 Buyback 2020 by IZ team is: 4/10 [Current ER = 7%] Better to wait for the price to fall below 180 to enter in the script for buyback purpose. This time size of buyback is less as compared to last year which will affect the Acceptance Ratio.