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GAIL approves ₹1,046-crore buyback; declares ₹2.5 interim dividend

Our Bureau New Delhi | Updated on January 15, 2021 Published on January 15, 2021

File photo   -  REUTERS

The board of directors of GAIL (India) has approved a buyback of equity shares and declared an interim dividend for the current fiscal. GAIL will buy back 6.97 crore shares, representing 2.5 per cent of the total paid-up equity share capital, of face value of ₹10 each, according to an exchange filing. That amounts to a total consideration not exceeding ₹1,046.35 crore. The buyback price has been fixed at ₹150 apiece, a 4.1 per cent premium to Thursday’s closing price. It also declared an interim dividend of ₹2.5 apiece for 2020-21.

The board has fixed January 28 as the record date for buyback and dividend. The government is the largest shareholder in GAIL. Currently, the government holds a 51.76 per cent stake in the company, while foreign investors owned 15.74 per cent.

Shares of GAIL fell as much as 3.82 per cent on Friday to close at ₹ 138.50 at the Bombay Stock Exchange. Our Bureau

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Published on January 15, 2021
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