TCS share buyback: Dates, share price; here's all you need to know

Tata Consultancy Services will open on December 1 under which investors can tender their shares to the company at a price of Rs 4,150 per share. The buyback will remain open till December 7. TCS is aiming for Rs 17,000 crore share buyback

Share Allottment

The company has announced that shareholders with less than Rs 2 lakhs investment has an entitlement ratio of 1 equity share for every 6 shares held on the record date (i.e. November 25). For other eligible shareholders the entitlement ratio stands at 2 shares for every 209 shares owned.

Entitlement means the minimum number of shares that would be accepted in the buyback, although the final number could be higher

Also Read: TCS Board to discuss share buyback proposal on October 11th

TCS is expecting its Earnings Per Share (EPS) to increase from Rs 58.52 to Rs 59.18 on a standalone basis while the net worth will rise from 49.89% to 62.56%. Earnings per share (EPS) is a measure of a company's profitability, calculated by dividing quarterly or annual income (minus dividends) by the number of outstanding stock shares

If the share buyback is 100% then the aggregate shareholding of the promoters will increase to 72.41% as compared to 72.3% now. As per The Economic Times, Two holding companies of the Tata Group, Tata Sons and Tata Investment Corporation, have expressed interest in participating in the buyback and may tender up to an aggregate maximum of 2,96,15,048 equity shares. The total buyback size is 4,09,63,855 shares.