From where
can I get details of companies proposing to buyback their shares?
Am I compulsorily
required to accept the buyback offer?
How do I decide
as to whether I should hold the shares or accept the offer?
How do I tender
my shares for buyback, in the tender offer method?
How do I participate
in the offer for buyback in case I do not receive the offer form?
Can I tender
my shares for buyback if I am not a registered shareholder?
What is the
manner in which the company decides the acceptances from each shareholders?
When will
the shareholders receive intimation about acceptance their shares?
When will
the shareholders receive the consideration/the share certificate?
From where can I get details
of companies proposing to buyback their shares?
Listed companies are required to intimate the stock
exchange of general meetings and resolutions passed thereof. Hence, information
on companies proposing to buyback shares may be obtained from the stock
exchanges. Also, when buyback offer document or public announcement is
filed with SEBI, SEBI issues a press release and the offer document is
put on the SEBI website under primary market page under the head "buyback".
Am I compulsorily required to
accept the buyback offer?
No. The decision to accept or forgo the offer lies
exclusively with you.
How do I decide as to whether
I should hold the shares or accept the offer?
The decision as to whether you should hold your
shares or accept the offer lies with you. However, you should read the
letter of offer and take a decision in this regard after considering various
factors such as the price of the offer, number of shares likely to be accepted
under the offer etc.
How do I tender my shares for
buyback, in the tender offer method?
The company will send you a tender/offer form. You
will have to fill up the form as per the instructions of the company and
enclose the documents asked for, by the company.
How do I participate in the
offer for buyback in case I do not receive the offer form?
You can make an application on plain paper stating
your folio number, name, address, number of shares held, share certificate
number, distinctive numbers, number of shares tendered, together with the
original share certificate and tender the same at the collection centres/registrars,
as mentioned in the public announcement.
Can I tender my shares for buyback
if I am not a registered shareholder?
Yes, provided you submit the duly executed transfer
deed for transfer of shares in your name, along with the offer form and
other relevant documents as required for transfer, if any. The same should
be sent to the registrar to the buyback offer.
What is the manner in which
the company decides the acceptances from each shareholders?
In case the shares of the company are tradeable
compulsorily in demat segment, the acceptances from any investor shall
be on a proportionate basis irrespective of the number of shares tendered
in the buyback, and irrespective of whether shares are in physical or demat
form.
If the shares are not in compulsory demat segment,
first the entire shares tendered being less than the minimum market lot
shall be accepted in full. Thereafter, the acceptances will be on proportionate
basis in a manner to ensure that the acceptances are in market lot. In
such a case, a draw of lots shall be done, as in the case of public issues.
When will the shareholders receive
intimation about acceptance their shares?
The company is required to send intimation to the
tenderers within 15 days from the closure of the offer.
When will the shareholders receive
the consideration/the share certificate?
The company is required to send the above, within
21 days from the closure of the buyback offer. |