This Company Announces Buyback Of Shares At Double The Market Price

Symphony has announced a buyback of shares at a price of Rs 2000, as against the current market price of Rs 1047. The company has also announced a good set of quarterly results.

Buyback of shares of Symphony

The proposal for buyback of fully paid up equity shares of the Company having a face value of Rs 2 from all shareholders/ beneficial owners of the Equity Shares of the Company, as on record date, will be decided subsequently, on a proportionate basis, through the "tender offer" route, using mechanism for acquisition of shares through stock exchange. "The buyback at a price of Rs 2,000 per share payable in cash, for an aggregate amount not exceeding Rs 200 Crores (Indian Rupees Two Hundred crores only)," the company said in a statement.

The buyback excludes expenses to be incurred for the Buyback brokerage costs, fees, turnover charges, taxes such as tax on buyback, securities transaction tax and goods and services tax (if any), stamp duty, printing and dispatch expenses, if any, filing fees to SEBI, stock exchange charges, advisor/legal fees, public announcement publication expenses and other incidental and related expenses and charges ("Buyback Offer Size").

Buyback to reduce capital

The resultant Equity Shares to be bought back at the Buyback Offer Price shall not exceed 10,00,000 Equity Shares, representing 1.43% of the total number of Equity Shares in the total paidup equity capital of the Company as on March 31, 2022.

"The Buyback Offer Size represents 24.76% and 24.69% of the aggregate of the Company's fully paid-up equity capital and free reserves as per the latest standalone and consolidated audited financial statements of the Company, respectively, for the year ended March 31, 2022, which is not exceeding than 25% of the aggregate of the total paid-up capital and free reserves of the Company in accordance with Regulation 4(i) of the SEBI Buyback Regulations," the company said in a filing.

Shares price of Symphony jumps

The share price of Symphony jumped post the announcement and the stock traded 8.47% higher at Rs 1047. The company also reported good quarterly numbers for the period ending Dec 31, 2022.
Q3 FY23 recorded the highest ever third quarter Standalone sales vis-à-vis previous historical high. Symphony focuses on the manufacture of aircoolers and eco-friendly products for domestic, commercial, and industrial customers in over 60 countries across the globe.