TCS stock rises after company announces dates for share buyback

The IT major TCS  plans Share Buyback of up to 4.09 crore equity shares with a face value of Re 1 at a price of Rs 4,150 per share.

Tata Consultancy Services (TCS) share price edged higher in the morning session on November 29 after the company announced dates for share buyback. 

The Rs 17,000-crore buyback will start on December 1 and end on December 7. The IT major plans to repurchase up to 4.09 crore equity shares with a face value of Re 1 at a price of Rs 4,150 per share.

The buyback represents 1.12 percent of the total issued and paid-up equity share capital of TCS as of September 30, 2023.

The broker for the buyback will be JM Financial Services Ltd., and the BSE will be the designated stock exchange. 

The buyback is not likely to cause any material impact on profitability or earnings, except to the extent of the reduction in the amount available for investment, which the company could have otherwise deployed towards generating investment income, TCS said in a regulatory filing.

Post the buyback, promoter and promoter group shareholding in the company will change from 72.3 percent currently to 72.41 percent.

At 09:38 AM, TCS was trading at Rs 3,509.80 per share on NSE, up Rs 39.65 or 1.14 percent.

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