Chambal Fertilisers and Chemicals Ltd board approves buyback

The Board of Directors of Chambal Fertilisers and Chemicals Limited, at its meeting held today i.e. January 8, 2024, have approved buyback of fully paid-up equity shares of face value of Rs. 10/- each, not exceeding 1,55,55,555 equity shares (representing 3.74% of the total paid-up equity share capital of the Company as on March 31, 2023) at a price of Rs. 450 per equity share, payable in cash for an aggregate amount not exceeding Rs. 700 crore (Rupees Seven Hundred Crore only) excluding taxes payable under the Income Tax Act, 1961 and expenses incurred and to be incurred for the buyback, which is 9.82% and 9.52% of the fully paid-up equity share capital and free reserves as per the latest audited standalone and consolidated balance sheet of the Company for the financial year ended March 31, 2023, respectively, on a proportionate basis from all existing shareholders of the Company as on the record date, through the "Tender Offer" route in accordance with the provisions contained in the Companies Act, 2013 and the rules made thereunder and the Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018 ("Buyback Regulations").

The public announcement setting out the process, timelines and other requisite details will be released in due course in accordance with the Buyback Regulations.

The board has taken note that the Promoters and Promoter Group of the Company have expressed their intention to tender shares under the buyback offer.

The board fixed January 18, 2024 as the 'Record Date' for determining entitlement and names of the eligible shareholders/beneficial owners to whom the letter of offer will be sent, and who will be eligible to participate in the buyback.

Shares of Chambal Fertilizers & Chemicals Limited was last trading in BSE at Rs. 378.35 as compared to the previous close of Rs. 372.80. The total number of shares traded during the day was 590607 in over 14952 trades.

The stock hit an intraday high of Rs. 385.35 and intraday low of 367.75. The net turnover during the day was Rs. 222401679.00.

Source : Equity Bulls

Keywords

ChambalFertilisersandChemicals Buyback TenderOffer INE085A01013