After the IT major, TCS announced buyback plan of Rs. 16,000 crore at a premium of 15% at Rs. 2100, another tech major HCL is likely to consider a share buyback proposal on July 12.
On the news, the stock of HCL has moved up by as much as 4% quoting Rs. 1000.05 on the BSE.
In a BSE filing, the leading tech company said, "The Board of Directors of the Company is scheduled to be held on Thursday, July 12, 2018, to consider a proposal for buy-back of equity shares of the company".
This is the second consecutive time after May 2017 when the company shall consider buyback proposal. In the previous instance, it offered a premium of 17% to its shareholders by buying back shares at a price of Rs. 1000 for a piece.
The buyback size then was Rs 3,500 crore which aggregates to 16.39 and 13.62 per cent of the aggregate of the fully paid-up equity share capital and free reserves as per the standalone and consolidated audited accounts of the company for the financial year ended March 31, 2016.
The company with a cash holding and free float of Rs 6,000 crore and of Rs 53,538 crore is expected to buyback shares this time at a price range between Rs 1050-1100 per share.