Coal India Trades Higher On Share Buyback Plan

Shares of Coal India were trading higher in the morning session as the company announced on Wednesday that its board will consider share buyback plan in the upcoming meeting to be held on 4 February.

In a BSE filing it said, "A board meeting is scheduled on Monday to consider and approve buyback of the fully-paid equity shares of the company having a face value of Rs 10 each."

"Further, the trading window shall remain closed from January 30 until the end of 48 hours after the announcement of the decision of Board of Directors regarding buyback of shares, if any, is made public on February 4," it added.

Earlier on Tuesday the company announced that it would be raising about Rs 1,065 crore by selling shares to its three out of its eight fully owned subsidiaries MCL (Mahanadi Coalfields Limited), SECL (South Eastern Coalfields Limited) and NCL (Northern Coalfields Limited). In separate board meetings, the three have decided to buy back portion of their shares held by Coal India.

The company's share price opened higher Rs 226.50 a piece on Thursday.

Reports suggest that the Centre has asked some of the PSUs (Public Sector Units) like Coal India to speed up their buyback share plans in order to fall within the current fiscal year of 2018-19. ONGC, India Oil and Oil India buybacks are expected to come next.

Also Read: How To Apply For Share Buyback In India?