Buyback of Shares 2023: The Board of Directors of TeamLease Services Limited – a diversified digital commercial company has approved the buyback of shares, subject to shareholders’ approval. The company informed the Indian stock exchanges in this regard and said that the TeamLease share buyback price has been fixed 3,050 per equity share. The buyback will be through the tender route. Teamlease share price is around today 2,350 per share, which means the company has offered to buyback shares at a steep discount of 30 per cent.
Notifying the Indian markets about the stock buy back, TeamLease Services Ltd. said, “We wish to inform that the Board of Directors of TeamLease Services Limited at its meeting held today i.e. February 03, 2023, has, inter alia, considered and approved, subject to the approval of the shareholders, to Buy-back of fully paid-up equity shares of the company of the face value of the offer 10/- not exceeding 3,27,869 Equity Shares (representing 1.92% of the total paid-up share capital of the Company as on March 31, 2022) (which is less than 25% of the total paid-up share capital of the Company as on March 31, 2022 (standalone and on a consolidated basis) (“Equity Shares” and such buyback “Buyback”) the free reserves of the Company from all the shareholders/beneficial owners of the Company based on the latest audited financial statements of the Company. The equity shares of the Company, as on the Record Date, which will subsequently be decided by using the mechanism for acquisition of shares through the prescribed stock exchange(s) under the Securities and Exchange Board of India, through the “tender offer” route, on a proportionate basis. Buyback) Regulations, 2018, as amended (“Buyback Regulations”) and such other circulars or notifications issued by the Securities and Exchange Board of India and in accordance with the Companies Act, 2013 and the rules made thereunder, as amended from time to time e (“Act”), at the cost of 3050 (Three Thousand Fifty Only) per Equity Share (the “Buyback Offer Price”), payable in cash, for an aggregate amount of Rs. [100 crores] (Rupees one hundred crore]), excluding tax payable under the Income-tax Act, 1961 and any expenditure incurred or to be incurred for the buyback. Brokerage cost, fees, turnover charges, taxes like tax on buyback, securities transaction tax and goods and services tax (if any), stamp duty, filing fees SEBIstock exchange(s) fees, advisory/legal fees, printing and mailing expenses, if any, public announcement publication expenses and other incidental and related expenses and fees (“Transaction Costs”) representing 14.79% and 14.50% of the total is the paid-up capital and free reserves of the Company as per the standalone and consolidated audited financials of the Company for the year ended March 31, 2022.
Here we list 5 key details that you should know before tendering your stock:
1]TeamLease share buyback Price: Share buyback price announced by the company board 3,050 per equity share.
2]Buyback Discount: Teamlease share price is around today 2,350 each, which means the buyback has been announced at 30 per cent more than the current market price of the stock.
3]TeamLease Share Buyback Process: The buyback has been announced through the ‘tender route’.
4]TeamLease Share Buyback Acceptance Ratio: The offer is expected to receive a huge number of applications and hence the acceptance ratio is expected to be on the higher side.
5]Size of buyback: The buyback of its shares would amount to 1.92 per cent of the total paid-up capital of the company by March 31, 2022.
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