Tata Consultancy Services (TCS) announced Monday that its share buyback offer worth Rs 18,000 crore will open on March 9 and close on March 23.
Last month, on February 12, the company had announced its share repurchase program consisting of 4 crore shares at Rs 4,500 each.
TCS has set April 1, 2022 as the last date for the settlement of exchange bids, which could happen even earlier, according to a filing on the Bombay Stock Exchange (BSE).
TCS promoters – Tata Sons and Tata Investment Corporation Ltd (TICL) – are planning to participate in the tender offer by offering shares worth approximately Rs 12,993.2 crore, according to a company document filed earlier.
Tata Sons, which owns approximately 266.91 crore shares, plans to offer 2.88 crore shares, while TICL (which owns 10,23,685 shares) plans to offer 11,055 shares.
At Rs 4,500 each, the two entities will bring in approximately Rs 12,993.2 crore.
A previous buyback of TCS of Rs 16,000 crore had opened on December 18, 2020 and closed on January 1, 2021. Tata Sons had tendered shares worth Rs 9,997.5 crore during that offer.
At that time, more than 5.33 crore shares of shares were bought (offer price was Rs 3,000 each) and out of the total, 3,33,25,118 shares of Tata Sons were accepted under the tender offer.
In 2018, India’s largest IT services company bought back shares worth up to Rs 16,000 crore at Rs 2,100 each. A similar exercise was also held in 2017.