Aarti Drugs Ltd announced a share buyback worth Rs 59.85 crore on Monday. The company plans to repurchase up to 6.65 lakh shares, which is about 0.72% of its total paid-up equity shares. This buyback will be done at a maximum price of Rs 900 per share, a 44.6% premium over the closing price on Monday.
The record date for this buyback has been set for September 5, 2024. The company will carry out the buyback through a tender-offer route. In this type of buyback, shareholders can sell their shares at a fixed price set by the company.
The exact dates for the buyback have not yet been announced. The number of shares repurchased will depend on the acceptance ratio, which varies based on shareholder responses.
According to SEBI rules, 15% of the buyback offer is reserved for small shareholders, those with investments of up to Rs 2 lakh in the company as of the record date. Aarti Drugs’ small shareholders hold 1.7 crore shares.
For the buyback, 15% of the 6.65 lakh shares, or 0.6 crore shares, are reserved for these small investors. Therefore, the acceptance ratio for this category is expected to be 0.73%.
