Here we have discussed about NTPC
. Power giant NTPC
board on Monday approved the buyback of 197.8 million equity shares for Rs 2,275.74 crore. “The board of directors of the company in a meeting held on November 2, 2020 has inter-alia approved… buyback of the fully paid up equity shares of the company of face value of Rs 10 each,” NTPC said in a BSE filing.
The board approved the proposal to buy back 19,78,91,146 fully paid-up equity shares at a price of Rs 115 per unit for an aggregate consideration not exceeding Rs 2,275.75 crore, the filing said.
The company has fixed November 13, 2020 as the record date for the purpose of ascertaining the eligibility of shareholders for buyback of equity shares.
The Company proposes to buyback a maximum of 19,78,91,146 Equity Shares of face value of INR 10 (Rupees Ten Only) each of the Company.
NTPC Buyback 2020 Dates
|Board Meeting for NTPC Buyback proposal
|NTPC Buyback Approval date
|Public Announcement of NTPC Buyback
|NTPC Buyback Record Date
|NTPC Buyback opens on/Buyback Opening Date
|NTPC Buyback closes on/Buyback Closing Date
|Cut-off date to receive completed tender forms by Registrar
|Cut-off date for verification by the Registrar
|Cut-off date to inform Stock Exchange on acceptance or
non-acceptance of tendered Equity Shares by Registrar
|Last date of settlement of bids on the stock exchange
|Last date to return unaccepted shares by Registrar
|Last date of extinguishment of Equity Shares
NTPC BuyBack 2020 Offer Deal:
|Buyback Record Date:
||Nov 13 2020
|Buyback Offer Amount:
||₹ 2275.74 Crore
|Date of Board Meeting approving the proposal:
||Nov 02 2020
|Date of Public Announcement:
||Nov 02 2020
|Buyback Offer Size:
|Buyback Number of Shares:
||₹ 115 Per Equity Share
NTPC Buyback of 19,78,91,146 equity shares which is around 2.19% of all the existing number of equity shares at a price of ₹115 per equity share. The buyback offer not exceeding of ₹2275.74 crore of total buyback offer size.
Note: If anything you want to know about the buyback offer you can refer the NTPC buyback offer documents.
About NTPC Company
1. The total installed capacity of the NTPC is 62,910 MW (including JVs) own stations include 24 coal based, 7 gas based, 1 Hydro 1 Wind 11 Solar and 1 Small hydro plant. Under JV, NTPC has 9 coal based, 4 gas based and 12 renewable energy projects. The capacity will have a diversified fuel mix and by 2032, non fossil fuel based generation capacity shall make up nearly 30% of NTPC’s portfolio. NTPC has been operating its plants at high efficiency levels. As on 31.03.2019 the company had 15.5% of the total national capacity and, it contributes 22.3% of total power generation due to its focus on high efficiency.
2. NTPC became a Maharatna company in May 2010. As of January 2020, there are 10 Maharatnas CPSEs in India. NTPC is ranked No. 2 Independent Power Producer(IPP) in Platts Top 250 Global Energy Company rankings.
3. NTPC has comprehensive Rehabilitation & Resettlement and CSR policies well integrated with its core business of setting up power projects and generating electricity. The company is committed to generating reliable power at competitive prices in a sustainable manner by optimising the use of multiple energy sources with innovative eco-friendly technologies thereby NTPC is contributing to the economic development of the nation and upliftment of the society.
PROCESS AND METHODOLOGY FOR NTPC BUYBACK
- The Buyback is open to all Eligible Shareholders holding Equity Shares either in physical and/or in dematerialized form on the Record Date.
- The Buyback shall be implemented using the “Mechanism for acquisition of shares throughStockExchange pursuant to Tender-Offers under Takeovers, Buy Back and Delisting” notified vide the SEBI Circulars and following the procedure prescribed in the Companies Act and the Buyback Regulations, and as may be determined by the Board (including the “authorised persons” approved by the Board and authorized to complete the formalities of the Buyback) and on such terms and conditions as may be permitted by law from time to time.
How to Participate in NTPC Buyback?
3. Then on [Not Announced] the payment will be given to you for accepted shares and unaccepted shares will be returned to your demat account.
NTPC Buyback 2020 FAQs:
When is NTPC Buyback Record Date?
NTPC buyback 2020 record date is 13 November 2020
When is NTPC Buyback announcement Date?
NTPC buyback 2020 announcement date is 02 Nov 2020
What is NTPC Buyback Price?
The company has fixed the price at ₹115
How to apply for NTPC Buyback 2020?
As per the record date you need to have NTPC shares in your demat account. You can participate in buyback after having the stock in your account.
What is the record date for NTPC buyback offer?
The Record Date for NTPC Buyback offer: The company has fixed 13 November, 2020 as the record date for the purpose of ascertaining the eligibility of shareholders for buyback of equity shares.
How much I can make with NTPC buyback offer?
You can earn a premium of 28% from current market price.
Its all depend on acceptance ratio which usually announce with Letter of Offer.
The percentage of proportionate acceptance varies from company to company. This percentage can be also 100% which means that company buys all of your shares.
How to Participate in NTPC buyback offer?
Steps to participate in NTPC buyback:
On Record date (Coming Soon) you must have share of NTPC in your demat account. Depositing of share in your DP account usually take T+2 days, so you need to plan your buying accordingly.
After that company announces buyback open and close window, so you need to tender your share in buyback process. You can do this online or contact your broker to tender your share in buyback, so he can place a request on your behalf.
Next step is with registrar – depend on buyback acceptance ratio, your shares will be sold in buyback process and fund will directly debited in your bank account. Any rejected share will be revert in your demat account which you can sell in open market or hold for long term gain.
How many NTPC share are eligible for buyback?
Share holders who hold less than 2 lakh worth of shares are consider in Retail Category. All others will consider in General Category. Last trading price on record date will be used to calculate the eligibility criteria.