ONGC Limited Buyback 2018
Overview of the ONGC
Maharatna ONGC is the largest crude oil and natural gas Company in India, contributing around 70 percent to Indian domestic production. Crude oil is the raw material used by downstream companies like IOC, BPCL, and HPCL to produce petroleum products like Petrol, Diesel, Kerosene, Naphtha, and Cooking Gas-LPG.
This largest natural gas company ranks 11th among global energy majors (Platts). It is the only public sector Indian company to feature in Fortune’s ‘Most Admired Energy Companies’ list. ONGC ranks 18th in ‘Oil and Gas operations’ and 183rd overall in Forbes Global 2000.
Business Activity of the Company
1. Exploration– Oil and Natural Gas Corporation Limited (ONGC) is a global energy holding company, engaged in the oil exploration, development, and production of crude oil and natural gas. Its segments include Exploration & Production (E&P), and Refining.
2. Drilling- ONGC operates some 105 drilling and 74 workover rigs. It is among the few companies in the world to have drilled 127 deepwater wells in diverse and challenging areas, establishing itself as one of the leading oil drilling companies in India.
Buy Back Offer Deal:
| Buyback Type: | Tender offer |
| Buyback Record Date: | Jan 04 2019 |
| Buyback Opening Date: | Jan 29 2019 |
| Buyback Closing Date: | Feb 11 2019 |
| Buyback Offer Amount: | ₹ 4402 Cr |
| Date of Board Meeting approving the proposal: | Dec 20 2018 |
| Date of Public Announcement: | Dec 20 2018 |
| Buyback Offer Size: | 1.97% |
| Buyback Number of Shares: | 25,29,55,974 |
| FV: | 10 |
| Buyback Price: | ₹ 159 Per Equity Share |
Details of Buyback:
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 | 1,84,905 | 1,84,905 | 1,84,905 | 1,84,905 |
| No. of Shares buyback | 414 | 628 | 942 | 1257 |
| BuyBack Profit | 4968 | 7536 | 11304 | 15084 |
| Profit | 3% | 4% | 6% | 8% |
Recommendation:
86 Comments
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I have still not received any confirmation of buyback.all my shares blocked for trade still now.
What to do now.its ICICI demat account.
anybody here yet to receive update from broker regarding buyback application status?
Just now amount Received. 100% accepted
I still haven’t any updates from my broker reg. the same.
WE ARE SUPPOSED TO GET THE AMOUNT BY TODAY BUT SO FAR AMOUNT HAS NOT BEEN CREDITED.
ANY UPDATE ON ONGC BB AR? ANYBODY RECEIVED MAIL?
ONGC 100% accepted. intimation received from Broker.
Small Shareholder 100% accepted
General Category around 33%
I purchased 1300share for Rs.149 and I tender all shares
All 1300 will be accepted?
Final Analysis of ONGC 2018 ( Return Analysis)
1. Buyback Announcement date: 20.12.2018—– Share Price was 147.
2. 1257 Shares bought at Rs. 147 means an investment of 1,84,905.
3. Retail Acceptance Ratio was 100%. i.e. out of 1257 shares, 1257 shares have been buyback by the company. Profit on Accepted Shares= 15,084.
4. The final Accepted Shares will be taken back on 21.02.2019.
5. Overall we can say a profit of 15,084 on an investment of 1,84,905 in 2 months.
the calculations and assumptions are right. the period is < 2 months and not 3 months 🙂
Is acceptance ratio announced
most likely will be 100 percent in retail
Any update
Retail acceptance ratio is 100 percent
sir i bid for 150 how much ongc may accept
ONGC accepted ration ???
ONGC and BEL may come up with buyback again .
Shouldn’t there be an interval of at least one year between two buybacks?
Govt of India Announcement
Aim ONGC_, @oilpr, BEL, To Buyback Shares Later This Month
Expect ONGC Share Buyback Alone To Yield Rs 2,500 Cr
Not possible. As per companies act, there should be atleast 12 months before a fresh buyback program
Market wizard and vsk Sir, it is 100% sure that all share of retails will be accepted and from where 3.79 crores share reserved for retail you read. Please confirm the acceptance ratio.
AR would be 100%.
do you think it will be repeat of ioc
ONGC buyback remained undersubscribed in retail.
Yes. Only 3,76,71,596 shares subscribed. Reserved quota for retail individual investor is around 37943396 .
So, can we come to the conclusion that 100% acceptance for retail investor (< 2 Lakh) ?
Yes.
Thanks for the reply.
Is bidding data showing at NSE include physical Shares participation?
I guess no as bid forms submitted to R&T.
CORRECT?
Hi, How do we check this on NSE website? Can post the link here?. Thanks
Plz can u help me to know statics of subscriptions in any buyback???
What is this bid number that we have to mention in tender form ? Please reply
As per current figure from NSE, Looks like, for retail investors – 100% of the tendered shares will be accepted for buyback.. but have to wait and see on Feb 11 (last day of buyback).
Tnank you very much should i send to company address or reg istrar to buy back os shares for ongc
C an somebody reply to my query which i have poted today
Is there anyway can we see how much ongc shares (percentage) subscribed as of now during buyback period (Jan 29 to Feb 11) ? i mean live update on buyback ?
Check it here
https://www.nseindia.com/live_market/content/live_watch/tender_offer/tender_offer.htm
Thank You.
How to know investor wise????? Like Non institutional/retailer/qualied institutinal???
My broker is not registered with nse so I cannot particpate in buy back thogh i have 600 shares on record date. My broker is registered with only bse. So please advise how I can participate in ongc buy back
You can fill form and send directly to company. Broker is not even involved in the process. Brokers only do this as courtesy to their clients. It’s fully within power of shareholder to directly do it with company.
Letter of Offer
https://d2un9pqbzgw43g.cloudfront.net/main/LetterofOffer.pdf
For Reserved Category- 13 shares will be entitled to every 49 shares held on record date.
Entitlement ratio= 26.5%
Hi wizard,
Did you get the eligibility letter? I’ve not received the letter still. I was holding ONGC shares from many years but still I have not received any intimation. Can you guide me as to whom should I contact regarding this?
Ongc…Buyback offer.opening on 29/01/2019 and closing on 11/02/2019
Entitlement approx 26.5%
Good ER. I THINK AR will be around 50 to 60 %
Will ongc share got down or up
is there any body applied for ongc buy back ? because didn’t see the buyback offer in my icici plateform.
It has not opened yet. Once it is opened then it would be available.
If AR is 50% according to IZ , only 4% will be profit(stock appreciation or depreciation neglected). How Can I Z give it 6 rating? Any one? No dividend also declare.
ONGC just updates Exchange with its latest shareholding pattern. As per this report .. minimum acceptance ratio for retail shareholders on this forthcoming buyback will be 18%.
22,88,34,041 are the no. of shares with face value consideration <2L.
So actual holding would be much lesser.
Please guide if anyone can….
Lets suppose, I held ONGC shares on record date in demat account of XYZ broker. After few days I sold the shares.
Then i bought it after few days the shares in demat account held with ABC broker( different from XYZ)..
Please suggest if my shares will be accepted in buyback if I surrender through demat account held with ABC broker, inspite of I was holding shares with XYZ broker on the record date
In my view, No problem if you same PAN in both the demat account. The company extracts the data of eligible shareholders for buyback from CDSL or NSDL. Brokers are the only link between You and depository.
Entitlement Letter is directly linked with your Demat Account on Record Date. If due to some or any reason you say my Demat account is changed, I think you need to follow some procedure with RTA. You can check the same with RTA email stared on letter of offer
Is it Ok to buy ONGC today for Buyback?
According to T+2, shares should be in account by 4th i.e. record date.
Please suggest.
I think shares bought on Jan 2nd is also eligible for buyback. Can somebody confirm this ?
Yes they will be eligible
Make sure that shares get transferred in your Demat Account on Record Date and were not hold by the Broker
ongc me ioc jesa dividend he ya sirf buyback he ?????
No dividend announced in ONGC.
thanks
how to open a account to buy unlisted share
There is no special requirements for buying unlisted shares. You just need to have demat account for buying n selling unlisted shares.
You can contact UnlistedZone.com for buying n selling unlisted shares. The most trusted site in India.
Infosys is coming with huge buy back.
Market Wizard what is your opinion?
As per market Pandits the buyback price wont be above 900. However, I think it is a very good way of returning money to the shareholders when company do not have big investment plan in near future.
It should be a very good oppurtunity for Infosys Shareholders.
If we consider buyback price is around 850.
Current market price is 660.
Retail invester will get huge benefit.
What is your opinion Market Wizard ji.
Yes Definitely. However, the way US stock market is falling is a cause of concern for indian IT stocks. Let us see how situation unfolds in coming week.
Should we participate or not
What is the last date to buy ONGC share to perticipate in buyback ? Please explain.
If you want to be eligible for a buy back of ONGC. You need to buy shares of ONGC till 1st January. Because a share to be credited into ur Demat Account requires trading + 2 days.
1st jan will be the trading day other two days 2nd and 3rd Jan. 4th is the record date
Thanks for your explanation.
If 4th is record date then shares could be bought latest by 2nd Jan not 1st
Selan Exploration Technology Ltd Board to consider Interim Dividend & Buyback of Equity Shares – Dec 27th
Any idea when buyback open date and when the amount will be credited after buyback ? approximately atleast?
Hi
whether we can use the shares for buy back,purchased before declaration of record date ?
Yes. You can tender shares in buyback if you hold them in your demat account before the record date and not the date of announcement of the record date.
Hi,
I have a query.. If I buy the Share before the record date for Buyback and sell after few day and buy back again before the offer period. Will that work ? Do they track if we are offering the same share in buyback which we had before the record date.
Last few times, I see the Share value goes down after the Record date, and not worth holding till the buyback starts.
Thanks
Ashish
Yes, you can do it. No problem in it.
Expected Acceptance ratio would be 30-50%
I am expecting very less acceptance ratio.
Individual Shares( As on 31.03.2018)
0-500= 66688511
501-1000= 40310999
1000-2000= 33342884
Total between 0 to 2000= ~ 14 Cr
Entitlement based on this = 27%
Individual share capital upto Rs. 2 Lacs = 21,66,79,520( As on 30.09.2018)
Retail Quota = 3.79 Cr
Entitlement = 16%
ONGC BUYBACK 159/-RS.
RECORD DATE:- 1 JANUARY 2019.
04th Jan
All these buybacks by govt will severely impact the balance sheet of ONGC and IOC. The Govt is forcing the cash-rich companies to pay their fiscal deficit bills. As market condition are poor, disinvestment via IPO is not feasible for the company so they are resorting to buyback.
Keep an eye on ONGC for buyback. ONGC’s buyback has not been confirmed as yet but is expected to be around Rs 4,800 crore in size as per moneycontrol.