09:36 PM IST
P C Jeweller today announced its board has approved buy-back of shares worth Rs 424 crore amid a sharp plunge in stock price in recent weeks.
The shares will be bought back at Rs 350 per unit, which is 67 per cent higher than the closing price of Rs 209 apiece on the BSE today. Promoters will not participate in the buy-back process.
In a regulatory filing, the Delhi-based jeweller said the board at its meeting held today considered and approved the buy-back of up to 1,21,14,286 fully paid-up equity shares of Rs 10 each.
The buy-back of 1.21 crore shares comprise 3.07 per cent of the total paid-up equity capital of the company, it added.
The shares will be bought back from the equity shareholders of the company as on the record date, at a price of Rs 350 per equity share, for an aggregate amount not exceeding Rs 424 crore, it said.
The promoters and promoter group companies would not participate in the proposed buy-back.
The board also approved appointment of IDBI Capital Markets & Securities Limited and Corporate Professionals Capital Private Limited as merchant bankers for the proposed buy back offer of the company.
The buy-back of shares has been announced by the company as its stock fell sharply to its 52-week low price of Rs 95.05 hit on May 3 this year after Fidelity managed funds sold shares through open market.
P C Jeweller has more than 100 retail stores across the country.
Its scrip has witnessed a severe drubbing after touching a 52-week high of Rs 600.65 apiece on January 16, 2018.
In less than four months, the stock touched a 52-week low of Rs 95.05 apiece on May 3.
The company has been maintaining that its fundamentals remain strong.
"We would like to assure our investors, shareholders and other stakeholders that there is nothing wrong with the company and its operations, the fundamentals of the company remain strong and it continues to move ahead on growth path," the company had said in a recent filing.
(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
)
Rs 13 Lakh Lump Sum Investment in Mutual Funds: How many years will it take to create a Rs 1 crore, Rs 2 crore & Rs 3 crore corpus?
)
Best Multi Cap and Flexi Cap Mutual Funds with Highest SIP Returns in 3 years: Rs 25,000 monthly investment in No. 1 fund has grown to Rs 13.5 lakh in just 3 years
)
9 Stocks To Buy For Short Term: Analysts suggest buying largecap, midcap, smallcap scrips for 2 weeks; Godrej Consumer on the list
)
Pay 0 Income Tax on Rs 15.25 lakh Income: Why your Rs 15,25,000 salaried income can be tax-free in new tax regime
)
Power of Rs 16,000 SIP: How many years will it take to generate Rs 5,00,00,000 corpus with just Rs 16,000 monthly investment?
)
SBI vs Canara Bank 10-year FD For Senior Citizens: Compare maturity of Rs 3.5 lakh- Rs 6.5 lakh deposits in both PSU banks
)
Top 5 ETFs With Highest Annualised Returns in 5 Years: Rs 100,000 invested in No. 1 exchange-traded fund is worth Rs 5,22,257 now
)
Power of Rs 1,50,000 PPF Investment: How many years will it take to generate over Rs 1 lakh/month tax-free income from Public Provident Fund?
09:36 PM IST