RITES announces buyback of 9.6 million shares worth up to Rs 257 crore

Topics Rites | Share buybacks

Transport Infrastructure Consultancy and Engineering firm RITES Ltd on Friday said its board has approved buyback of 96.98 lakh shares with repurchase amount not exceeding Rs 257 crore.

The board of directors has approved "buyback of 96,98,113 equity shares of face value of Rs 10 each at Rs 265 per share, translating into the total buyback amount not exceeding Rs 257 crore", the company said in a statement.

The company was listed in July 2018, and at present 72.02 per cent shares are held by the Government of India and the balance is with the public and financial institutions.

Rajeev Mehrotra, chairman and managing director, RITES Ltd, said, "The company has strong financial fundamentals with debt-free balance sheet. This repurchase reflects management's confidence in the company and growth prospects in the sectors and geographies, where we operate."

The company said the board has fixed September 30, 2020 as record date for the purpose of ascertaining the eligibility of shareholders for the buyback.

RITES Ltd is a miniratna public sector enterprise having diversified services and geographical reach.

The company has an experience spanning 46 years and has undertaken projects in over 55 countries of Asia, Africa, Latin America, South America and Middle East regions.

RITES Ltd is the only export arm of Indian Railways for providing rolling stock overseas (other than Thailand, Malaysia and Indonesia).


(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)


Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel