Reliance Industries Ltd. led by billionaire Mukesh Ambani, has informed the NSE and the BSE that the company is considering a proposal to buyback equity shares at a board meeting scheduled to be held on January 20, 2012
A notice on the BSE website read: "Reliance Industries Ltd. has informed BSE that a meeting of the Board of Directors of the Company will be held on January 20, 2012, inter alia, to consider and approve a proposal for Buy Back of the Company's equity shares in accordance with all applicable provisions of law"
Although there is no announcement in this regard, the speculation is that the buyback could be around 10-12 per cent of the existing equity of Reliance Industries Limited. RIL is India's largest company and the buyback, if materialized is likely to be the biggest in India's history, according to Jagannadham Thunuguntla, Strategist & Head of Research, SMC Global Securities
The buyback will utilise the large pile of cash and cash equivalents (approximately Rs.70,000 crore) lying on Reliance’s Balance Sheet. Currently, the market capitalisation of Reliance Industries is in excess of Rs.2.5 Lakh Crores
The Buyback Price is speculated to be around Rs.850 to Rs.900 per share, although there is no official communication in this regard. Check back this blog for latest updates on Reliance Industries Ltd. Buyback Offer
A notice on the BSE website read: "Reliance Industries Ltd. has informed BSE that a meeting of the Board of Directors of the Company will be held on January 20, 2012, inter alia, to consider and approve a proposal for Buy Back of the Company's equity shares in accordance with all applicable provisions of law"
Although there is no announcement in this regard, the speculation is that the buyback could be around 10-12 per cent of the existing equity of Reliance Industries Limited. RIL is India's largest company and the buyback, if materialized is likely to be the biggest in India's history, according to Jagannadham Thunuguntla, Strategist & Head of Research, SMC Global Securities
The buyback will utilise the large pile of cash and cash equivalents (approximately Rs.70,000 crore) lying on Reliance’s Balance Sheet. Currently, the market capitalisation of Reliance Industries is in excess of Rs.2.5 Lakh Crores
The Buyback Price is speculated to be around Rs.850 to Rs.900 per share, although there is no official communication in this regard. Check back this blog for latest updates on Reliance Industries Ltd. Buyback Offer
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