Shares of Bajaj Consumer Care Ltd. surged as much as 4% on Monday, July 21, after the company informed the exchanges that it will be holding a board meet on Thursday, July 24, to consider a buyback proposal of its equity shares.This will be the second straight buyback that the company will be considering, after carrying one out in 2024.
Back in July 2024, Bajaj Consumer Care had announced a buyback worth ₹166.49 crore. The buyback was carried out via the tender offer route, which means that the shares would only be repurchased at a fixed, pre-determined price.
The share buyback price of the previous issue was fixed at ₹290 per share. The stock is still trading below its previous buyback price.The frequency of companies announcing share buybacks has declined since October 2024 when the new buyback regulations took effect.
Back in July 2024, Bajaj Consumer Care had announced a buyback worth ₹166.49 crore. The buyback was carried out via the tender offer route, which means that the shares would only be repurchased at a fixed, pre-determined price.
The share buyback price of the previous issue was fixed at ₹290 per share. The stock is still trading below its previous buyback price.The frequency of companies announcing share buybacks has declined since October 2024 when the new buyback regulations took effect.
The income received on the buyback of equity shares is now being taxed in the hands of the shareholder and not the company as was the case earlier.
Shares of Bajaj Consumer are trading 2.4% higher after an initial spike, currently trading at ₹246.35, below the price of the earlier buyback.
