On January 8, Bajaj Auto approved a share buyback program amounting to Rs 4,000 crore at a price of Rs 10,000 per share. In a stock exchange filing, the company stated, “The Board of Directors of the Company at its meeting held today… has approved the proposal for buy-back of up to 4,000,000 fully paid-up Equity Shares… at a price of Rs 10,000 per equity share payable in cash for a total consideration not exceeding Rs 4,000 crore.”
In a regulatory filing the previous week, Bajaj Auto had indicated, “The meeting of the Board of Directors… is scheduled on 08/01/2024, inter alia, to consider and approve a proposal to buyback of fully paid-up equity shares of the Company and other matters necessary and incidental thereto.”
This marks the company’s second buyback since 2022 when the major two and three-wheeler auto company had announced a Rs 2,500 crore buyback at Rs 4,600 per share.
“The Buyback is subject to approval of the shareholders by means of a special resolution through a postal ballot. The public announcement and letter of offer setting out the process, timelines, and other requisite details will be released in due course in accordance with the Buyback Regulations.”