The Board of Directors of Motilal Oswal Financial Services Ltd (MOFSL) on Saturday approved buy-back of the company's fully paid-up equity shares of Re 1 face value for a total amount not exceeding Rs 150 crore.

The buy-back will be from the members of the company (except promoters, promoter group or the persons in control of the company) from the open market through the stock exchanges at a price not exceeding Rs 650 per equity share, MOFSL said in a stock exchange notice.

MOFSL shares on Friday closed at Rs 605.60 apiece, up 9.48 per cent over the previous close on BSE.

Assuming that the indicative maximum buy-back shares are bought back, the notice said post buy-back, the promoter & promoter group shareholding will increase to 70.87 per cent against 69.76 per cent pre buy-back. Simultaneously, the public shareholding will go down to 29.13 per cent from 30.24 per cent.

According to the notice, the maximum buy-back size represents 7.51 per cent and 6.64 per cent of the aggregate of the total paid-up equity share capital and free reserves of the company based on its audited standalone and consolidated financial statements as of March 31, 2019, respectively.

The indicative maximum number of equity shares proposed to be bought back at the maximum buy-back size and maximum buy-back price under the buy-back would be 23,07,692 equity shares, representing 1.56 per cent of the existing paid-up capital of the company.

And if the equity shares are bought back at a price below the maximum buy-back price, the actual number of equity shares bought back could exceed the maximum buy-back shares, but will always be subject to the maximum buy-back size.

The company said it will utilise at least 50 per cent of the maximum buy-back size towards the buy-back.

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