- Aurobindo Pharma approved a Rs 800 crore share buyback plan via tender offer route
- The company will repurchase 54,23,728 shares at Rs 1,475 each, a 11.6% premium on NSE close
- April 17 is the record date to determine shareholders eligible for the buyback
Aurobindo Pharma Ltd. board on Monday approved a share buyback plan worth up to Rs 800 crore. The company will repurchase 54,23,728 fully paid-up equity shares, representing up to 0.93% stake, at a price of Rs 1,475 per share, according to a stock exchange filing. The offer price is a premium of 11.6% over Thursday's close of Rs 1,333.70 on the NSE.
The board has set April 17 as the record date for the purpose of determining the entitlement and the names of equity shareholders who would be eligible to participate in the buyback. The buyback is proposed to be made from all of the equity shareholders, including the promoters and members of the promoter group, on a proportionate basis through the “tender offer” route, the filing said.
As of Dec. 31, 2025, promoters held 51.82% equity in Aurobindo Pharma, mutual funds 19.52%, insurance companies 5.5%, foreign portfolio investors 13.94% and retail investors 7.93%.
The board also approved the transfer of the company's domestic branded generic pharmaceutical formulations products business on a going concern basis through a Business Transfer Agreement to Auropharm Ltd., a wholly owned subsidiary, for a lumpsum consideration of Rs 143.21 crore.
The move is in line with a strategy to further streamline and accelerate its domestic business for faster growth. The completion of sale is estimated within 90 to 120 days from the date of BTA.
The stock has risen 21% in the last 12 months and 12% year-to-date.
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