Tata Consultancy Services (TCS), the nation’s largest data know-how firm, on Wednesday introduced a share buyback plan of Rs 16,000 crore, topic to shareholders approval, the corporate informed inventory exchanges in an earnings submitting. The firm plans to purchase again 5.33 crore fairness shares at Rs 3,000 per fairness share not exceeding Rs 16,000 crore. The share buyback worth is at a premium of almost 10 per cent to the Wednesday’s closing worth.
“The Board of Directors at its meeting held on October 7, 2020, has approved a proposal to buy-back upto 5,33,33,333 equity shares of the Company for an aggregate amount not exceeding Rs 16,000 crore being 1.42 per cent of the total paid up equity share capital at Rs 3,000 per equity share subject to approval from shareholders,” the Mumbai-based firm stated.
The buyback comes at a time when TCS dad or mum Tata Sons is engaged in a combat with one among its oldest shareholders, the Shapoorji Pallonji Group, which not too long ago stated “a separation from the Tata Group is necessary”.
TCS’ internet revenue in quarter ended September 30 rose almost 7 per cent sequentially to Rs 7,475 crore. While, its income from operations got here in at Rs 40,135 crore, up 4.7 per cent sequentially.
Its income in fixed forex phrases grew 4.eight per cent sequentially and seven.2 per cent in greenback phrases, TCS added.
The firm has additionally stated that the wage will increase for its workers will likely be rolled out efficient October 1.
“Driving accelerated business value realization of our customers’ digital investments has resulted in broad-based revenue growth. The strong order book, a very robust deal pipeline, and continued market share gains give us confidence for the future,” Rajesh Gopinathan, chief government officer and managing director, TCS stated in an announcement.
The firm additionally introduced a second interim dividend of Rs 12 per fairness share.
TCS shares ended almost 1 per cent increased at Rs 2,737.40, its file closing excessive forward of the earnings announcement.