Jai Corp Limited (NSEI:JAICORPLTD) announces a share repurchase program. Under the program, the company will repurchase up to 2,944,415 shares, representing 1.65% for INR 1,177.77 million. The maximum price paid by the shareholders would not exceed INR 400 per share.
The purpose of the program is to return surplus cash to shareholders thereby enhancing the overall returns to shareholders, to improve return on equity by reduction in equity base, thereby leading to long term increase in shareholders' value, to provide an option to the shareholders to either participate in the buyback and get cash in lieu of their shares or not participate in the buyback and enjoy an increase in their percentage shareholding post the buyback, without additional investment. The shares repurchased will be funded from free reserves of the company or such other sources as may be permitted by the SEBI Buyback regulations and Companies Act. The company has fixed September 10, 2024, as the record date for the offer.
The repurchase program is valid till September 20, 2024. As of August 27, 2024, the company had 178,449,410 issued and outstanding shares.
