₹18,000 Crore Infosys Share Buyback Set to Open Tomorrow at ₹1,800 Per Share

Bengaluru, November 19: ₹18,000 crore Infosys share buyback is set to open tomorrow at ₹1,800 per share. The Infosys share buyback will remain open from November 20 to November 26. A share buyback is a corporate action in which a company buys back its shares from the general public as a way to increase its shareholding and return capital to the shareholders.

Infosys Share Buyback Details

Under the Infosys share buyback, the company will repurchase 10 crore fully paid-up equity shares of face value ₹5 each. This will represent up to 2.41% of its total paid-up equity share capital. Infosys has priced its share buyback at ₹1,800, which is a premium over its current share price of ₹1,539.60.

This comes after the company has issued share buybacks in the past. It issued a ₹13,000 crore share buyback in 2013, ₹8,620 crore worth in 2019, ₹9,200 crore worth in 2022, and ₹9,300 crore in 2023.

Infosys Share Buyback: Promoters Not Participating

Promoters and promoter group members, including Nandan M Nilekani and Sudha Murty, are not participating in the Infosys share buyback. As of the announcement date, Infosys’ promoter group held 13.05% of the company’s equity.

Shares Rise 3.58% To ₹1,539.60

As of 11:00 AM, Infosys’ share price was up by 3.58%, or 53.20 points, and was trading at ₹1,539.60. Until now, the shares have traded within a range of ₹1,539.80 and ₹1,490.50. The traded volume stood at 45.55 lakh shares, with the company’s market cap at ₹6,17,510 crore. The shares have their 52-week high at ₹2,006.45 and their 52-week low at ₹1,307.

Investor Takeaway for Infosys

Infosys’ share buyback is a welcome sign for investors, as it will allow them to sell their shares to the company at a good premium. The non-participation of the promoters is also a positive sign as it indicates their confidence in the company’s long-term health. Furthermore, the company has announced that it plans to continue returning around 85% of the company’s cumulative free cash flow over a five-year period. It will do so through semi-annual dividends, buybacks, and special dividends. Investors will be watching the Infosys share buyback closely tomorrow and participate to get rewarded with a premium over today’s closing price.

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