eClerx Services Ltd board approves buy back through tender offer at Rs. 3200

The Board approved the proposal of buy back of fully paid-up equity shares of face value Rs. 10 (Rupees Ten only) each of the Company ("Equity Shares") for an amount not exceeding Rs. 3,030 Millions (Rupees Three Thousand and Thirty Millions only) excluding any expenses incurred or to be incurred for the buy back viz. brokerage costs, fees, turnover charges, taxes such as securities transaction tax and goods and services tax (if any), tax on distributed income on buy back, stamp duty, advisors fees, filing fees, public announcement expenses printing and dispatch expenses, if any, and other incidental and related expenses and charges etc. ("Transaction Costs") ("Maximum Buy Back Size"), being 24.98% and 20.59% of the aggregate of the total paid-up Equity Share capital and free reserves of the Company based on the latest standalone and consolidated audited financial statements of the Company respectively as on March 31, 2021, at a buy back price not exceeding Rs. 3,200/- (Rupees Three Thousand and Two Hundred only) per Equity Share ("Maximum Buy Back Price"), payable in cash, from the shareholders / beneficial owners of the Equity Shares of the Company as on a record date to be subsequently decided by the Board/Buy Back Committee as may be formed by the Board ("Record Date"), through the "tender offer" route, on a proportionate basis as prescribed under the Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018, as amended ("SEBI Buy Back Regulations") provided that 15% (fifteen percent) of the number of Equity Shares which the Company proposes to Buy-Back or number of Equity Shares entitled as per the shareholding of small shareholders as on the Record Date, whichever is higher, shall be reserved for the small shareholders as prescribed under the SEBI Buy Back Regulations (hereinafter referred to as the "Buy Back").

At the Maximum Buy Back Price i.e. Rs. 3,200/- (Rupees Three Thousand and Two Hundred only) per Equity Share and for Maximum Buy Back Size i.e. Rs. 3,030 Millions (Rupees Three Thousand and Thirty Millions only), indicative maximum number of Equity Shares proposed to bought back would be 9,46,875 (Nine Lakhs Forty Six Thousand Eight Hundred and Seventy Five) Equity Shares ("Indicative Maximum Buy Back Shares"). However, the actual bought back shares may exceed the Indicative Maximum Buy Back Shares, if the Buy Back price fixed by the Buy Back Committee is less than the Maximum Buy Back Price, subject to not exceeding 25% of the total number of Equity shares in the paid-up Equity Share capital of the Company and the amount utilized shall not exceed Maximum Buy Back Size.

Shares of eClerx Services Limited was last trading in BSE at Rs. 2170 as compared to the previous close of Rs. 2119.85. The total number of shares traded during the day was 1575 in over 139 trades.

The stock hit an intraday high of Rs. 2180 and intraday low of 2127. The net turnover during the day was Rs. 3408275.

Source : Equity Bulls

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