Bajaj Auto Share Buyback Opens Tomorrow: Bajaj Auto share buyback for elevating as much as Rs 4,000 crore will open on March 6 and shut on March 13. The two-wheeler and three-wheeler maker will purchase again 40 lakh shares, which is 1.41% of complete excellent shares, at a pretty worth of Rs 10,000 per share, by way of the tender route.
The buyback plan was introduced in January 2024 for Rs 10,000 per share by way of the tender provide route and on a proportionate foundation.
The buyback, which is able to stay open for tendering until March 13, is at a major premium to the present market ranges of Rs 8,299.60 on NSE. The inventory worth was buying and selling 1.55% greater at Rs 8,334.90 throughout right now’s afternoon commerce.
The final date for verification of tender varieties by the registrar is being mounted as March 18 whereas bids might be settled on the bourses by March 20. The fairness shares purchased again might be extinguished by March 26.
Bajaj Auto share buyback entitlement ratio
Besides the tender route buyback timelines, Bajaj Auto has introduced acceptance ratio, with the ultimate entitlement ratio for common, institutional acceptance.
For the overall and institutional classes, Bajaj Auto will buyback one fairness share for each 82 fairness shares held on the file date. This interprets to a 1.22% acceptance fee. Thus, a minimal of 1.22% of shares might be accepted, with the ultimate acceptance probably barely greater on a case-by-case foundation, mentioned Abhilash Pagaria of Nuvama Alternative & Quantitative Research.
For retail traders, which incorporates particular person shareholders with investments as much as ₹2 lakh, the share entitlement ratio has been mounted at seven fairness shares for each 27 fairness shares held on the file date, leading to a 25.9% acceptance fee.
Therefore, a minimal of 26% of shares might be accepted, with the ultimate acceptance more likely to be nearer to 26-30%, Nuvama mentioned.
The file date for Bajaj Auto buyback was February 29.
Should You Tender Your Shares?
For common and institutional traders, Bajaj Auto will buyback one fairness share for each 82 fairness shares held on the file date, translating to a 1.22 per cent acceptance fee. Thus, a minimal of 1.22 per cent of shares might be accepted, with the ultimate acceptance probably barely greater on a case-by-case foundation, mentioned Abhilash Pagaria of Nuvama Alternative & Quantitative Research.
For retail, Bajaj Auto will buyback seven fairness Shares for each 27 shares held on the file date, leading to a 25.9 per cent acceptance fee. Therefore, a minimal of 26 per cent of shares might be accepted, with the ultimate acceptance more likely to be nearer to 26-30 per cent, Nuvama mentioned.
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