NIIT Technologies has announced Rs 337 crore share buyback offer. NIIT Technologies proposed buyback of up to 19,56,290 fully paid equity shares of the face value of Rs 10 each at price of up to Rs 1,725 per share, aggregating up to Rs 337.46 crore. NIIT Tech shares were trading 2 per cent higher at Rs 1,612 in early trade today. The proposed buyback price is around 9 per cent higher than the previous day closing price of Rs 1,577.
This represents 20.23 per cent of the paid-up equity share capital and free reserves of the company. The buyback will be made through a proportionate basis under the tender offer route. As of December 20, 2019, promoters held 70.12. The buyback is subject to ‘approval of the shareholders through a special resolution through postal ballot and regulatory approval(s) as may be required,’ NIIT Tech said.
NIIT Technologies said it will announce timelines of the buyback offer in due course subject to receipt of requisite approvals. The IT company’s shares are up 40 per cent so far this year, hugely outperforming the broader markets.
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