Buy-back enables the company to go back to its shareholders and offers to purchase from them the share they held with the introduction of sections 77a, 77a a and 77b in the companies act, 1956 through the companies (amendment) act, 1999, now the companies allowed buy-back shares. The total number of equity shares to be bought back would hence be 6,00,00,000 equity shares, it said government eyes rs 12,000 crore via share buyback in 6-8 psus 20 aug, 2018, 1244pm ist.
Buy-back of shares means the purchase by the company of its own shares buy-back of equity shares is an important mode of capital restructuring it is a corporate financial strategy which involves capital restructuring and is prevalent globally with the underlying objectives of increasing earnings per share, averting hostile takeovers, improving returns to the stakeholders and realigning the capital structure. Buying back some or all of the outstanding shares can be a simple way to pay off investors and reduce the overall cost of capital for this reason, walt disney ( dis ) reduced its number of outstanding shares in the market by buying back 738 million shares, collectively valued at $75 billion, back in 2016.
Jb chemicals' board approves share buy-back for up to rs 130 crore 31 aug, 2018, 0314pm ist the company has offered to pay rs 390 per share.
In 2013, mcdonald's bought back 187 million shares for $18 billion dollars -- an average price of $9696 without the share buyback, mcdonald's would have finished the year with 1,0087 million. (now that you know what happens when companies buy back stock, you might be interested in buying some shares yourself for that, you're going to need a brokerage account, if you don't already have. Companies buy back shares on the open market over an extended period of time and may even have an outlined share repurchase program that purchases shares at certain times or at regular intervals a company can fund its buyback by taking on debt, with cash on hand or with its cash flow from operations.
Queuing up to buy back their own shares and release the perceived excess cash holdings back to the investors what exactly is a buy-back buy-back is a procedure that enables a company to purchase its shares from its existing shareholders, usually at a price near to or higher than the. A company may also buy back shares held by or for employees or salaried directors of the company or a related company this type of buyback, referred to as an employee share scheme buyback, requires an ordinary resolution.