Triveni Turbine, a mid cap company with market valuation 9,111 crore, holds a leadership position in the manufacturing of industrial steam turbines in India.
The Board of Triveni Turbine in its meeting held on 2nd November, 2022 has approved the proposal of 190 crore share buyback through tender offer. The buyback price for the offer of fully paid-up equity shares of the company has been fixed at a face value of Re 1 each: 350 per share.
For the buyback, the steam turbine maker will come up with a record date later, the company informed in a filing to the stock exchanges.
The resultant equity shares to be bought back at the buyback offer price are 54,28,571 equity shares, representing 1.68% of the total equity shares in the current total paid-up equity capital of the Company as on March 31, 2022.
The size of the buyback offer represents 24.79% and 22.86% of the Company’s fully paid-up equity capital and free reserves, as per the latest standalone and consolidated audited financial statements, which is less than 25% of the aggregate of the total paid-up of the Company. Capital and free reserves.
at the given buyback price of 350, the company offers a premium of 16.55% and 16.61% over the closing price of equity shares on NSE and BSE as on October 27, 2022 respectively.
Under share buyback or repurchase, a firm buys back its own shares from investors or shareholders. It is seen as an alternative, tax-efficient way of returning money to shareholders.
Triveni Turbine is a core competence company in the design and manufacture of industrial steam turbines up to 100 megawatts (MW).
In the post-Covid era, this multibagger stock has changed fortunes. Investors’ wealth has grown more than 5 times in less than three years. In the second quarter (July-September) of FY23, Triveni’s shares rose nearly 50.5%.
In one year, the shares have risen by over 55%. shares were around The level of 168 on October 11 last year. But since March 25, 2020, during the first nationwide lockdown due to COVID-19, the shares of Triveni have given Goliath returns of up to 397.23% so far. The wealth of investors has increased almost 5 times between March 25, 2020 and October 10, 2022.
Triveni shares were lower as on March 25, 2020 53 per.
In trading today, the stock closed on a hit 281.80 per share, up 1.51% from its previous close on the NSE.
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