Infosys Buyback Aug 2017

[topsharebrokers.com]

Infosys Board is consider a share buyback in board meeting which is planned on Aug 19,2017. The SEBI has already given a green signal for Infosys share buyback.

Buyback price is going to be declare after board meeting, as per market trend - Wipro, TCS and HCL buyback price was up b/w 17 to 19%, it should be between Rs 1250 and Rs 1300 per share.

Complete updated information on Infosys Buy back is available on:
Infosys Buyback Offer Aug 2017

 

[mannk]

What is going to happen to Infosys Buyback tomorrow after CEO's resignation. Is it going to approve tomorrow or will go on toss??

 

[mannk]

No changes in buyback plan as per Infosys board Chairman R Seshasayee. Expected price for buyback is Rs 1075 to Rs 1175 . Price is going to be defined by trading day 16th Sep 2017 closing price which was 979.35 - on premium of 10 per cent to 20 per cent.

 

[Sidz]

11.3 crore shares to be bought back at 1150 rs per share

 

[mannk]

I think share on Monday is going to open around $980, good opportunity to get some on Monday.

 

[Rinku Patil]

what to do.
Is it time to say bye to Infy or still it is good for long term investment. Please advice.

 

[Verde]

I think share on Monday is going to open around $980, good opportunity to get some on Monday.

it will open at 1150. who will leave free 170

 

[topsharebrokers.com]

Article on Business Line suggest - Small Investor acceptation ratio can be 60%

Now, in Infosys’ case, the total buyback is for 11.3 crore shares. This is 4.92 per cent of the outstanding shares of the company. But, given that there is a 15 per cent reservation for small shareholders, the acceptance ratio for this category works out to about 60 per cent. Here’s how.

As on March 31, Infosys had about 6.27 lakh shareholders who held about 2.87 crore shares with the holding value of ₹2 lakh or less. Of the total buyback of 11.3 crore shares, the 15 per cent reservation for small shareholders comes to 1.69 crore shares.

If we assume that, as on the record date too, the company has small shareholders who hold more or less the same number of shares, then the acceptance ratio (assuming all those shares are tendered in the offer) is 1.69 divided by 2.87 which is 59 per cent.

The 60 per cent acceptance ratio calculation is based on the number of small shareholders and their holdings as on March 31. If this number changes by the record date and there are more shares that qualify for the small shareholder reservation, then, the acceptance ratio may drop below 60 per cent.

 

[THETRADER]

Another important point to consider is, the share price after buyback, as the reserves go down by 13k cr, a portion of other income will go down as this comes from investment. These changes due to the buyback alone, can bring down the EPS by about 10%. That could mean a drop of more than 10% in the share price. So, the shares not accepted for buyback will have to be sold at a loss!

 

[mannk]

Yes, very valid point by Thetrader ji. What is the acceptance ratio for retail investors? How many shares one can hold under retail investor.