Wipro buyback 2023: Date, price, acceptance ratio, other details. Apply or not?

Wipro buyback 2023: Wipro share price was in focus on Friday as the stock traded ex-buyback on last session of the week gone by. The Indian IT major has fixed Wipro buyback of shares at a price of ₹445 per equity share, which is around 14 per cent higher from its current market price of ₹380 apiece on NSE. So, the IT stock is expected to get strong response from the Wipro shareholders as market is expecting that acceptance ratio of Wipro buyback would be around 40 per cent.

Wipro buyback details

Informing about buyback of shares, Wipro informed Indian stock market exchanges citing, "The Board of Directors of the Company and shareholders of the Company, respectively, have approved the proposal to buyback up to 26,96,62,921 equity shares (Twenty Six Crore Ninety Six Lakh Sixty Two Thousand Nine Hundred and Twenty One only) fully paid-up equity shares of the Company of face value of ₹2/- (Rupees two only), for an aggregate amount not exceeding ₹120,00,00,00,000/- (Rupees Twelve Thousand Crores only), each at a price of ₹445/- (Rupees Four Hundred and Forty Five only) per equity share on a proportionate basis through the tender offer process."

Here we list out important Wipro buyback details:

1] Wipro buyback date: Indian IT major had fixed Wipro buyback 2023 record date on 16th June 2023 but it is yet to announce the Wipro buyback opening date.

2] Wipro buyback acceptance ratio: Anubhuti Mishra, Equity Research Analyst at Swastika Investmart believes that acceptance ratio is around 40 pe cent, which may go up to 60 per cent.

3] Wipro buyback price: The company has declared buyback of shares at ₹445 per share.

4] Wipro buyback process: The Indian IT major has announced buyback of shares through tender route.

5] Wipro buyback size: The buyback of shares would not exceed ₹12,000 crore worth.

6] Apply or not: Giving 'tender' tag to this Wipro buyback offer, Anubhuti Mishra of Swastika Investmart said, "About 15 per cent of the Wipro shares in the buyback are reserved for retail investors (those who have a shareholding in Wipro below ₹2 lakh). This is a tender offer, and the Wipro buyback price is ₹445. The share is currently trading around ₹389. So, as of today, the calculated premium is more than 14 per cent. Hence, we will advise you to take part in this buyback."

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.