New Delhi: The scrip of IT firm Nucleus Software Exports on Thursday surged nearly 5% after the company said its board will meet on 25 April to consider buyback of equity shares.
Shares of the company jumped 4.57% to settle at Rs272.15 on BSE.
During the day, they soared 7.47% to Rs 279.70. On NSE, the stock surged 4.33% to close at Rs 272.15. “...a meeting of the Board of Directors of the company will be held on April 25, 2017, to consider the proposal of buyback of fully paid up equity shares of the company, up to such amount of the aggregate of company’s paid up equity share capital and free reserves as the Board may decide,” Nucleus Software said in a regulatory filing.
Share buyback typically improves earnings per share and is a mechanism to return surplus cash to shareholders, besides supporting the stock price during sluggish market.