Welspun Enterprises Shares Gain After Board Approves Buyback

Shares of Welspun Enterprises Ltd. rose after its board approved a proposal to buy back equity shares worth Rs 235 crore.

The company will buy up to 1.17 crore shares at Rs 200 apiece, spending up to Rs 235 crore, according to the exchange filings. The record date for the buyback will be decided and announced separately, the company said.

The board also agreed to pay a dividend of Rs 7.50 per equity share on or after Jan. 20. It also voted to withdraw the Scheme of Amalgamation at the meeting held on Friday. The plan is to submit it to the board for fresh approval after the buyback of equity shares.

Shares of the company rose 2.92% to Rs 171 on Friday, compared with a 0.41% decline in the benchmark Nifty 50.

The two analysts tracking the company maintain a "buy" rating, according to Bloomberg data. The 12-month consensus price target implies an upside of 37.1%.