Rs 155,00,00,000 Buy back announced by this company, Record date August 25. Stock surged by 10 per cent

Rakesh Deshmukh
Rs 155,00,00,000 Buy back announced by this company, Record date August 25. Stock surged by 10 per cent

Net Profit grew by 62 per cent in June quarter while operating profit surged by 56 per cent

Fairdeal Corporation Limited (FDC), a prominent fully integrated pharmaceutical enterprise in India, announced a buyback in its latest exchange filing.

Following are the details:

Buyback Quantity: The company plans to buy back up to 31,00,000 fully paid-up Equity Shares. This represents 1.87 per cent of the total paid-up equity capital of the company.

Buyback Price: The buyback price is set at Rs. 500 per Equity Share. This is the price at which the company is willing to repurchase each share from the shareholders.

Record Date: The Board has fixed August 25, 2023, as the record date with the objective of determining the entitlement and names of shareholders eligible to partake in the Buyback.

Aggregate Amount and Offer Size: The total amount allocated for the buyback is not to exceed Rs. 155,00,00,000 (Rupees One Hundred Fifty-Five Crores Only). This is the maximum amount the company is willing to spend on the buyback.

The company's action to repurchase its Equity Shares will be conducted on a proportionate basis, offering shareholders the opportunity to tender their shares based on their existing holdings. This mechanism is carried out through the "Tender Offer" route.

The company took this step to optimize its equity structure and create value for its shareholders while adhering to regulatory standards.

Also check this article: 1,900 per cent multibagger return; Company announced buy back, Record date August 25. Stock surged by 5 per cent today.

Financial Performance:

The company declared its June quarter result yesterday. The company’s revenue experienced an 8.5 per cent rise in its consolidated revenue in Q1 FY24, reaching Rs 536 crore, compared to Rs 495 crore in the same period of the previous year.

During the quarter, the company's operating profit experienced a remarkable 56 per cent growth, amounting to Rs 122 crore, compared to Rs 78 crore in the previous year. However, the operating profit margin improved from 16 per cent to 23 per cent.

The company witnessed a 62 per cent increase in its net profit for the quarter that ended June 2023, reaching Rs 141 crore, compared to Rs 87 crore recorded in the corresponding period of the previous year. The net profit margin stood at 26 per cent.

Established in 1936, Fairdeal Corporation Limited (FDC), is a prominent fully integrated pharmaceutical enterprise in India. Renowned as a trailblazer in crafting specialized formulations, the company holds a distinguished position globally for its production and promotion of Oral Rehydration Salts (ORS).

Today, the shares of the company closed at Rs 409.90 each on the BSE.

Disclaimer: This article is for informational purposes only and not investment advice.

 

 

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