On Wednesday, Tata Consultancy Services (TCS) said that it has fixed 28 November as the record date for the purpose of determining the entitlement and the names of the equity shareholders who shall be eligible to participate in the buyback.
Shares of the company were up 2 percent to Rs 2,678.60 on the BSE in early trade on Thursday.
On 7 October, TCS had announced that its board had approved a buyback of Rs 16,000 crore to purchase around 53.3 million shares at Rs 3,000 per share. While shares of the company hit a record high of Rs 2,885 the next day, it has been underperforming since when compared to the bullish rally seen in the two benchmark indexes- Sensex and Nifty.
Shareholders of the company have also provided approval for the buyback plan. The voting, which started on October 20 and ended on November 18, saw 99.57 per cent of the votes being cast in favour of the buyback offer.
Last year, TCS had offered a special dividend of Rs 40 per share and this time it is undertaking a buyback.
In 2018, TCS had undertaken a share buyback of about Rs 16,000 crore.
Wipro, another IT services giant also announced the record date for its share buyback plan on Wednesday. It will undertake a Rs 9,500 crore share buyback programme for up to 23.75 crore equity shares of the company at Rs 400 per share.