GAIL (India) jumps on getting nod to buyback about 5.7 crore shares for Rs 1,083 crore
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GAIL (India) is currently trading at Rs. 159.35, up by 3.65 points or 2.34% from its previous closing of Rs. 155.70 on the BSE.
The scrip opened at Rs. 158.40 and has touched a high and low of Rs. 159.45 and Rs. 155.95 respectively. So far 838242 shares were traded on the counter.
The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 171.35 on 06-Oct-2021 and a 52 week low of Rs. 125.20 on 20-Dec-2021.
Last one week high and low of the scrip stood at Rs. 157.25 and Rs. 146.75 respectively. The current market cap of the company is Rs. 70557.72 crore.
The promoters holding in the company stood at 51.80%, while Institutions and Non-Institutions held 42.88% and 5.32% respectively.
GAIL (India) has received approval from board of directors to buyback about 5.7 crore shares for Rs 1,083 crore as it looks to use its healthy balance sheet to reward shareholders for the second time in as many years. The company had in 2020-21 spent Rs 1,046.35 crore on a similar share buyback. Buying back shares is considered a tax-efficient way of rewarding shareholders. The government owns a 51.80 per cent stake in the company and is likely to participate in the buyback. In the 2020-21 buyback, the government had received Rs 747 crore.
The share buyback, or share repurchase, is when a company buys back its own shares from investors or stakeholders. It can be seen as an alternative, tax-efficient way to return money to shareholders. The board of directors at its meeting held on March 31, 2022 has approved the same.
GAIL (India) is India’s leading natural gas company with diversified interests across the natural gas value chain of trading, transmission, LPG production & transmission, LNG regasification, petrochemicals, city gas, E&P, etc.
