Infosys buyback to begin on November 30

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Information technology (IT) chief Infosys said on Friday that its stock repurchase offer would start on November 30 and close on December 14.

The IT service principal issued the offer letter for the same. He said that the letter along with the necessary forms would be sent to the eligible shareholders that appeared on the November 1 registration date.

Infosys has set the last settlement date for bids on the stock exchange on December 26, while the last date to receive the complete bidding forms and other specified documents, including RTA physical stock certificates, is the Dec. 18.

The company had announced in August that it would repurchase shares worth up to 13,000 rupees.

The repurchase offer includes a purchase of up to 113 million shares of capital that add up to 4.92 percent of the paid share capital of the company at a price of 1,150 rupees per share.

In addition to other shareholders, the majority of Infosys’ 19 promoters, including co-founder N R Narayana Murthy and newly appointed non-executive chairman Nandan Nilekani, will participate in the repurchase of company shares.

The group of promoters and promoters currently has a 12.7 percent share in India’s second largest software exporter with 292.8 million shares. Sixteen members of this group “have expressed their intention” to participate in the repurchase and tender up to 17.7 million shares, which could be worth Rs. 2,039 crore in a repurchase plan of Rs 13,000 crore.