The upcoming share buybacks in 2024 feature prominent companies including KDDL Limited and Aurobindo Pharma Limited. These buybacks offer shareholders an opportunity to sell their shares back to the company at attractive prices, potentially benefiting from immediate gains and improved financial ratios.
What Is Buyback Of Shares?
A share buyback involves a company purchasing its own stock from the market, using its available cash reserves. This reduces the total number of outstanding shares, potentially raising the value of remaining shares and improving financial metrics.
List Of Buyback Of Shares In India 2024
Here is a table showcasing the list of share buybacks:
| Company Name | Issue Open | Issue Close | Buyback Type | BuyBack price (Per Share) | Issue Size – Shares (Cr) |
| Matrimony.com Limited | N/A | N/A | Tender Offer | 1025 | 72.00 |
| Insecticides (India) Limited | Sep 17, 2024 | Sep 24, 2024 | Tender Offer | 1000 | 0.05 |
| Jai Corp Limited | Sep 13, 2024 | Sep 20, 2024 | Tender Offer | 400 | 117.78 |
| Arex Industries Limited | Sep 12, 2024 | Sep 19, 2024 | Tender Offer | 195 | 0.04 |
| Ladderup Finance Limited | Sep 11, 2024 | Sep 19, 2024 | Tender Offer | 44 | 0.25 |
| Weizmann Limited | Sep 5, 2024 | Sep 11, 2024 | Tender Offer | 160 | 0.04 |
| Indian Toners & Developers Limited | Sep 5, 2024 | Sep 11, 2024 | Tender Offer | 450 | 0.05 |
| Aarti Drugs Limited | Sep 11, 2024 | Sep 19, 2024 | Tender Offer | 900 | 0.07 |
| Transport Corporation Of India Limited | Sep 10, 2024 | Sep 17, 2024 | Tender Offer | 1200 | 0.13 |
| Nucleus Software Exports Limited | Sep 09, 2024 | Sep 13, 2024 | Tender Offer | 1615 | 0.04 |
| KDDL Ltd | Sep 2, 2024 | Sep 6, 2024 | Tender Offer | 3700 | 0.02 |
| Technocraft Industries (india) Limited | Sep 2, 2024 | Sep 6, 2024 | Tender Offer | 4500 | 0.03 |
| Suprajit Engineering Limited | Sep 2, 2024 | Sep 6, 2024 | Tender Offer | 750 | 0.15 |
Introduction of Buyback Of Shares
Matrimony.com Limited
Matrimony.com Limited provides online matchmaking services via web portals, mobile platforms, and an on-the-ground network in India. It also offers wedding-related services, including WeddingBazaar, MatrimonyMandap, and photography, with revenue from memberships, matrimonial services, and online advertising.
How Does The Buyback Of Shares Work?
A share buyback involves a company purchasing its own stock from the market, using its available cash reserves. This reduces the total number of outstanding shares, potentially raising the value of remaining shares and improving financial metrics.
Buyback Of Shares – FAQs
A buyback of shares is a corporate action where a company purchases its own outstanding shares from the marketplace, reducing the number of shares available and potentially increasing the value of remaining shares.
The main benefits of share buybacks include enhancing shareholder value by increasing earnings per share, improving financial ratios, supporting stock prices, and signaling robust company health.They offer a tax-efficient method to return funds to shareholders compared to dividends.
In India, share buybacks are conducted under SEBI guidelines, either through the open market or a tender offer. Companies allocate funds to repurchase shares, aiming to reduce the outstanding share count and potentially increase the stock value.
After a share buyback, the share price may increase due to the reduced supply of shares and the perception of corporate confidence. However, the actual impact can vary based on market conditions and investor sentiment.
The main disadvantage of share buybacks is that they utilize cash reserves that could be invested in business growth or innovation. Additionally, they can artificially inflate share prices, misleading about a company’s true financial state, and may prioritize immediate shareholder returns over long-term strategic investments.
