As expected, due to heavy submission in buyback, small shareholders got a poor acceptance ratio of 15.5%. Those who purchased 800~900 shares at 190 to 200 are in big loss at balance shares quoting at 166.
Entitlement ratio for small shareholder category is 102 for 919 shares @ 11.10. Acceptance ratio is not percentage of acceptance versus tendered shares. This can vary from shareholder to shareholder depending on number of shares tendered. For eg, if 102 shares are tendered subject to holding 919 on record date, his acceptance will is 100% !
Having tendered 300 shares and with 141 accepted AR turned out to be 47%. Acceptance was higher at 47% as shares held on record date was 900. (Rest sold in market post record date) Real acceptance rate for shareholder as on record date is 141/900 + 15.5% approximate. It is higher than ER11.10 % due to some shareholders not tendering.
If it was 29.5% only 90 out of 300 should have been accepted. Alternatively those tendering should have got 270 accepted. If that has been the case, do clarify 29.5% with reference to share held on record date not tendered.
Yes. Do read 2.2 above with complete details. If number of shares held on record date is the criteria, (which in this case was 900 coming under small shareholders category as per the offer document) , then at least 235 or more out of 300 tendered should have been accepted. This means AR is neither linked to shares on record date nor number of shares tenders, seems combination of both. So AR varied from individual to individual in same category.
If more shareholders share their details like holding on record date, shares tendered & accepted , we could try know this better. But, since the time buy back section started on big demand from main board, no one even visits these sections!
Please intimate whether any one having trading account in ICICI DIRECT got the credit of buyback amount of EIL? If so, details may please be furnished.
Sarita ji, thank you very much for your kind response. Unfortunately, no communication so far from ICICI DIRECT regarding the 2400 shares. They are still found in my trading account. In the order book of buyback, it is clearly mentioned as submitted on 22/01 for buyback. It’s my bad luck. I have mailed to the customer care of the ICICI DIRECT. I will wait for 48 hours and then think of further course of action. What do you suggest?
Hey I have also applied for buyback from my ICICI direct account but it still has been sent any notification or update on the amount. The shares are also not reflecting.
Dear Admin sir, There is no thrill in open market buyback for retailers. So, please open pages for tender route buyback of companies like SIS, Bharat Rasayan etc which are good companies undergoing the buyback action.
Price closer to buy back will offer 80 to 100% AR. For anyone purchased at 47 to 52, it is better to tender even if market price is 1 or 2 rupees higher than buy back as gains from buy back is tax free.
With increase in global aluminum prices by 28% Nalco and Hindalco will go up gradually despite minor dips in between. Naclo should go to 75 ~80 levels post buyback. One can buy at dips either to tender on buy back or even hold over next 1 to 2 years
Refer 2019 buy back of this company. After announcement of the Open market share buy back, prices went down instead of rising up. It might be completely company operator driven.
Not understand this. If shares held on record date are sold at higher price before closure of Tender dates , then one can buy again at lower prices to tender. Otherwise fresh shares over and above record date will not be accepted.
it should be bought before opening of buy back. As most clever investors tend to think alike rush to buy after dates are announced. Nalco is hitting 52 week high now at 54.20!
Might remain close to buyback price as buyback opens. Aluminum prices rising in tandem with commodity prices.... good to hold unaccepted shares for an year or two
SIS Buyback
Why in HDFC sec portal SIS buyback is not seen in dashboard ????