Quick Heal Buyback 2021

Quick Heal Technologies Ltd. (Formerly Known as Quick Heal Technologies Pvt. Ltd.) is one of the leading IT security solutions company. Each Quick Heal product is designed to simplify IT security management across the length and depth of devices and on multiple platforms. They are customized to suit consumers, small businesses, Government establishments, and corporate houses.

Over a span of over 20 years, the company’s R&D has focused on computer and network security solutions. The current portfolio of cloud-based security and advanced machine learning enabled solutions to stop threats, attacks, and malicious traffic before it strikes. This considerably reduces system resource usage. The security solutions are indigenously developed in India. Quick Heal Antivirus Solutions, Quick Heal Scan Engine and the entire range of Quick Heal products are proprietary items of Quick Heal Technologies Ltd. (Formerly Known as Quick Heal Technologies Pvt. Ltd.)

Buy Back Offer Deal:

Buyback Type: Tender Offer
Buyback Offer Amount: ₹ 155 Cr
Date of Board Meeting approving the proposal: Mar 10 2021
Date of Public Announcement: Mar 10 2021
Buyback Offer Size: 24.9%
Buyback Number of Shares: 63,26,530
Price Type: Tender Offer
FV: 10
Buyback Price: ₹ 245 Per Equity Share

Details of Buyback:

The Board of Directors of the Company at its meeting held today, March 10, 2021, has approved a proposal to buy back up to 63,26,530 Equity Shares of the Company, being 24% of the total paid up equity share capital of the Company, for an aggregate amount not exceeding Rs. 155 Cr, at a price of Rs. 245 per Equity Share through " Tender Route".

Salient financial parameters:

Particulars(in Cr) Mar-16 Mar-17 Mar-18 Mar-19 Mar-20
Sales 298 299 316 313 283
Expenses 192 202 193 186 193
Operating Profit 107 97 123 127 91
OPM % 36% 33% 39% 41% 32%
Other Income 9 23 23 25 31
Interest 0 0 0 0 0
Depreciation 24 31 27 24 22
Profit before tax 93 90 119 129 100
Net Profit 62 59 79 84 74
EPS in Rs 8.91 8.44 11.21 11.9 11.47
Source: Screener.in

How to Participate in buyback?

1. Firstly, to be eligible for the buyback the investor should have shares of Quick Heal Buyback 2021 in demat or physical form as on the record date [Not Announced]. 2. Once you have shares in demat, you can participate in the buyback process which is opening from [Not Announced] by selling your shares through your broker on NSE or BSE. 3. Then on [Not Announced], 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 816 Shares at CMP of Rs. 209 [2,00,000/245=816)
Acceptance Ratio 33% 50% 75% 100%
Amount Invested in Buyback 1,70,544 1,70,544 1,70,544 1,70,544
No. of Shares buyback 269 408 612 816
BuyBack Profit 9684 14,668 22,032 29736
Profit (%) 5.67% 8.6% 12.91% 17.4%

Recommendation:

Quick Heal Buyback 2021 by InvestorZone team is: 4/10 [Entitlement = 10%]

8 Comments

    Postal ballot result will be declared on 19/4 and record date will be announced post shareholders approval which is expected you be able in 1st week of May 2021

      It will come down to around 160 after buyback
      If market cracks it will be even lower
      Ar won’t be good
      So don’t buy until it comes to around 170

    No sense in buying now
    It has already shot up by 30% in last week
    After buyback it will be back to 160 levels

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