Engineers India Ltd board approves buyback at Rs. 84

The Board of Directors of Engineers India Ltd in its meeting held today has approved the proposal to buyback of not exceeding 6,98,69,047 (Six Crore Ninety Eight Lakhs Sixty Nine Thousand and Forty Seven) equity shares of face value of Rs. 5/- each of the Company (representing 11.06% of the total number of fully paid-up equity shares in the paid-up share capital of the Company) at a price of Rs. 84/- (Rupees Eighty Four only) per equity share (the "Buyback Offer Price") payable in cash for an aggregate consideration not exceeding Rs. 586.90 Crore (Rupees Five Hundred Eighty Six Crore and Ninety Lakhs only) (the "Buyback Offer Size"),being 24.998% and 24.462% of the aggregate of fully paid-up share capital and free reserves as per the audited standalone and consolidated financial statements of the Company, respectively, for the financial year ended March 31, 2020 (the last audited standalone and consolidated financial statements available as on the date of board meeting recommending the proposal of the Buyback) and is within the statutory limits of 25% (Twenty Five Percent) of the aggregate of the fully paid-up share capital and free reserves under Shareholders approval route from all the equity shareholders of the Company, as on the record date, on a proportionate basis through a Tender Offer route, subject to the approval of the shareholders of the Company by way of a special resolution by postal ballot through e-voting and all other applicable statutory approvals.

The Buyback Offer Size does not include any expenses incurred or to be incurred for the Buyback like filing fees payable to the Securities and Exchange Board of India, advisors fees, public announcement publication expenses, printing and dispatch expenses and other incidental and related expenses.

Shares of ENGINEERS INDIA LTD. was last trading in BSE at Rs.70.4 as compared to the previous close of Rs. 70.3. The total number of shares traded during the day was 191655 in over 737 trades.

The stock hit an intraday high of Rs. 71.9 and intraday low of 69.8. The net turnover during the day was Rs. 13479811.

Source : Equity Bulls

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