In India, you can participate in a buyback offer by tendering your shares through your broker during the company’s buyback window. If you are a shareholder on the record date announced in the buyback notice, you are eligible. Once the buyback period starts, log in to your broker’s platform, Go to the corporate actions / buyback section, select the company, and enter the number of shares you want to tender. After the window closes, the company will confirm how many shares have been accepted, pay you the buyback price for those shares, and return any unaccepted shares to your demat account, usually within a week after the offer ends.
Companies buy back their shares mainly to return value to shareholders and improve financial metrics. The key reasons include:
Return excess cash to shareholders.
Increase Earnings Per Share (EPS).
Support or boost the share price.
Signal that the stock is undervalued.
Improve financial ratios like ROE.
Prevent hostile takeovers.
You are eligible for a buyback offer if:
You hold the company’s shares on the record date announced in the buyback notice.
Your shares are in demat form (mandatory for tendering in most cases).
You are a registered shareholder (your name appears in the company’s records via NSDL/CDSL).
In India, you can participate in a buyback if you hold the company’s shares on the record date. During the buyback window, log in to your broker’s platform, go to the corporate actions / buyback section, select the company, and enter the number of shares you want to tender (you may offer more than your entitlement, but extra acceptance is not guaranteed). After the offer closes, the accepted shares are debited from your demat account, payment for them is credited to your bank account, and any unaccepted shares are returned to your demat.
In India, payment for accepted shares in a buyback is usually credited to your bank account within 7 working days from the date the buyback offer closes.
Shares that are not accepted in a buyback are simply returned to your demat account after the buyback process is completed.
You remain the owner of those shares and can continue to hold or sell them in the open market as you wish. The return usually happens around the same time the payment for accepted shares is made i.e., typically within 7 working days after the buyback offer closes in India.
You can check if your shares were accepted in a buyback in these ways:
Broker’s Platform – After the buyback settlement date, your broker will show the number of shares debited from your demat for the buyback and the number returned.
Demat Statement (NSDL/CDSL) – Your statement will reflect the shares tendered, accepted, and returned.
Bank Account – If shares are accepted, the buyback payment will be credited to your registered bank account, usually within 7 working days of offer closure.
Company/Exchange Announcement – The company will publish the final buyback acceptance ratio and results on the NSE/BSE corporate announcements page.
