Bajaj Auto Shares Rise 5.96% To Hit One-Year High of 'Rs 7,059.75' on Buyback Proposal: Reports
Bajaj Auto Ltd's stock climbed by 5.96%, hitting a yearly peak, following the company's announcement to evaluate on buyback of equity shares. Check for further details here.
New Delhi, January 4: Bajaj Auto buyback news has taken the market by surprise as the Bajaj Auto Ltd shares rise by 5.96% on Wednesday. The share price of Bajaj Auto Ltd experienced a rise of 5.96%, reaching a 52-week peak at Rs 7,059.75, up from its last closing figure of Rs 6,662.50. The rise in stock prices is expected to come after Bajaj Auto announced its intention to consider a proposal for the buyback of equity shares.
As per the report of Business Today, the board of directors at Bajaj Auto Ltd is scheduled to meet on January 8, 2024, to consider on the buyback plan. "We wish to inform you that, the board of directors of the company at its meeting scheduled to be held on Monday, January 8, 2024 (Board Meeting), inter alia will consider a proposal to buyback of fully paid-up equity shares and other matters necessary and incidental thereto, in accordance with the applicable provisions of the Companies Act, 2013 (including the rules and regulations framed thereunder), the Securities and Exchange Board of India (Buy-back of Securities) Regulations, 2018, as amended, and other applicable laws," Bajaj Auto stated. Car Recall 2024:Tesla Korea, Hyundai Motor and Four Other Carmakers To Recall Over 72,000 Vehicles for Faulty Parts.
"This buyback size will be bigger than the previous instance. In its last offer the buyback was worth Rs 2,500 crore and was done via open market through stock exchange mechanism at the rate Rs 4,600 per share buyback price. If we assume a bigger buyback size compared to the previous instance at current price Rs 6,950, we can expect price Rs 7,800-Rs 8,000 range buyback," said Prashanth Tapse, Senior VP (Research) at Mehta Equities. Hyundai Achieves 6.9 per Cent Sales Growth, Kia Sets New Sales Records With 3.08 Million Units Sold in 2023.
The trading volume on the day of the announcement saw about 25,000 shares changing hands on the Bombay Stock Exchange (BSE), higher than the two-week average volume of 8,758 shares. The turnover on the counter was reported at Rs 17.22 crore, with the market capitalisation (m-cap) standing at Rs 1,97,788.32 crore.
(The above story first appeared on LatestLY on Jan 04, 2024 03:56 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).