On Wednesday, state-owned Hindustan Petroleum Corporation Limited (HPCL) said that its board has approved the proposal for buyback of shares of the company from the open market for an aggregate amount not exceeding Rs 2,500 crore excluding any expenses incurred or to be incurred for the buyback.
The maximum price per equity share for the buyback is set at Rs 250, which is 25 percent higher than Wednesday's closing share price of Rs 187.20.
The maximum number of equity shares proposed to be bought back is 10 crore, the company said, representing 6.56 percent of the total number of the existing paid-up equity capital of HPCL.
The company's net profit for the September-ended quarter more than doubled to Rs 2,477.4 crore when compared to Rs 1,052.3 crore in the same period a year ago. However, its revenue declined 14.9 percent to Rs 51,773.3 crore for the quarter under review from Rs 60,868.4 crore in September 2019.
The quarterly financial results were announced after market hours.