TCS in its board meet today has approved a share buyback of up to 76.1 million shares or 1.99% of the total paid-up equity not exceeding Rs. 16,000 crore. The shares will be repurchased back by the IT bellwether at a price of Rs. 2,100 per share.
Earlier, the leading IT major company with a market cap of Rs. 7.048 lakh crore said that it would pay up to 100% of its free cash to the company's shareholders.
In the FY 2017-18 also the company announced a buyback plan of Rs. 16,000 crore. Some of the big investors that tendered their holdings in the stock include Government of Singapore, Copthall Mauritius Investments Ltd. and EuroPacific Growth Fund. Also of the total shares bought back by TCS during the buyback offer last year, Tata Sons tendered the largest share at 64.2%.
After the approval of the buyback offer, the stock gained as much as 3.4% to trade at a record high of Rs. 1849 on the BSE.