Mphasis Limited Buyback Aug 2018

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Aug 02, 2018: MphasiS Limited (BSE:526299 | NSE:MPHASIS) board is meeting on Aug 07,2018 to consider buyback of shares.

June 13, 2018: This is second consecutive year where MphasiS has planned for Buyback. The company has a good amount of cash and the company need to distribute this via buyback or dividend to shareholders.

Last year 2017-2018 company performed Rs 1130 Cr buyback. Market Price when buyback was announced was 579 and buyback price was finalized on 635. In such a case person who proposed his share for buyback has got approx Rs 55 per share(Approx 345 Share - 19K Profit). For retail investor acceptance ration was 100%.

As per market report company is sitting on 2073 Cr current assets this time and analyst are expecting buyback will be around a similar price. This time analyst is proposing buyback price in 1275 to 1350 price range. MphasiS board is meeting on Aug 07th 2018, to approve buyback proposal.

What is the Mphasis share buyback offer?

Aug 07, 2018: Mphasis Ltd (BSE:526299 | NSE:MPHASIS) board has approved a proposal for buyback of up to 73.20 Lakhs shares at Rs 1350 per share, aggregating Rs 988 Cr which is 3.79% of total paid-up equity shares capital.

What is Mphasis Limited Buyback details?

Below is the complete details about Mphasis Limited Buyback. Record date, buyback open and close dates are announce in below section.

    Buyback Type: Tender Offer
    Buyback Offer Amount: Rs 988 Cr
    Buyback Number of Shares: 73.20 Lakhs
    Buyback Price: Rs 1350
    Buyback Offer Size (In %): 3.79%
    Total Share Capital: Rs 23315.82 Cr
    Face Value: 10 Per Equity Share

Can I Invest today to participate in Mphasis Limited buyback offer? No

What are Mphasis Limited Buyback Important Dates?

In this section we have covered all important dates related to Mphasis Limited Buyback. Dates are updated as they are announced. The most noted dates are record date and buyback open and close dates, which one should use to participate in buyback.

    Mphasis Limited buyback offer important dates
    Buyback Activity Date
    Board Meeting for Buyback proposal 7th Aug 2018
    Buyback Approval date 7th Aug 2018
    Public Announcement of Buyback 7th Aug 2018
    Record Date 25th Oct 2018
    Buyback opens on/Buyback Opening Date 7th Dec 2018
    Buyback closes on/Buyback Closing Date 20th Dec 2018
    Cut-off date to receive completed tender forms by Registrar 22nd Dec 2018
    Cut-off date for verification by the Registrar 31st Dec 2018
    Cut-off date to inform Stock Exchange on acceptance or non-acceptance
    of tendered Equity Shares by Registrar
    31st Dec 2018
    Last date of settlement of bids on the stock exchange 1st Jan 2019
    Last date to return unaccepted shares by Registrar 1st Jan 2019
    Last date of extinguishment of Equity Shares 8th Jan 2019

Mphasis Limited Share Holding Pattern as of March 2018

Stock Holding table gives a clear picture on retail investor holdings of Mphasis Limited shares which helps investor to decide on participating in buyback offer. The less number of retail holdings means higher chance of acceptance in buyback under retail category which is equal to higher profit.

    Holding Type In %
    Promoter-Foreign 52.37%
    Promoter-Indian 0.0%
    Non-Promoter-Institutions 29.17%
    Non-Promoter-Non-Institutions 9.39%

Mphasis Limited Ratio of Buyback

    For Buy back shares holders are divided in 2 categories:

    • Reserved category for Small Shareholders ("Reserved Category") - Who holds Max Rs 2 Lakhs worth of shares @Rs 972 per equity share - in such case Max 205 Equity Shares as of Record Date 25th Oct 2018.
    • General category for all Shareholders other than Small Shareholders ("General Category")

    Mphasis Limited Ratio of Buy Back

    Category Entitlement Ratio of Buyback Per Equity Shares Entitlement Ratio of Buyback in %
    Reserved Category 10 Equity Share out of every 59 fully paid-up Equity Share held on the Record Date. 16.94
    General Category 24 Equity Share out of every 721 fully paid-up Equity Share held on the Record Date. 3.33%

Buyback Calculator - Check your Profit/Loss and Breakeven point for left out shares.

    As for the retail category, actual acceptance ratio is 16.95%, we assume this will go up to 30%.

Post buyback comments Mphasis Limited

    For Mphasis Limited Buyback Offer, Report updated by the manager of buyback -

    In general category - response received 2186.51%, No. of Equity Shares reserved in Buyback was 6222471 where valid bid received for retail category was 136054673 which is 2186.51% oversubscribed.

    In Reserved category for Small Shareholders (Retail) - response received only 475.17%, No. of Equity Shares reserved in Buyback was 1098084 where valid bid received for retail category was 5217000 which is 475.17%. Final Acceptance Ratio for Retail Investors was 20%.

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Detail Article on Benefit from buyback offer >> Read

Mphasis Limited Buyback Important dates - Record Date,Buyback Start and End date. Buyback Details - Buyback Price, Buyback Offer Size, Buyback Number of Shares, Retail Investors limit. What is the record date for Mphasis Limited? How can I apply in Mphasis Limited Buyback offer?

Company Contact Information

Bagmane World Technology,
Center Marathahalli, Outer Ring Road,
Doddanakundi Village,
Bengaluru
Karnataka-560048
http://www.mphasis.com

Registrar Contact Information

Integrated Enterprises (India) Ltd. No.30,
Ramana Residency
4th Cross, Sampige Road
Malleswaram Bengaluru - 560003
Karnataka
Request call back from

Last Updated on 2019-07-09T00:42:03+00:00


Reference Topics


User Comments

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8. Prashant  12/27/2018 9:36:26 PM Reply
Was holding 33 shares. Entitlement was 5. Final acceptance was 6. I think there was mass buying under retail category as the acceptance ratio in the previous buyback was 100%.
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7. Sai Ram  12/27/2018 3:07:35 PM Reply
Jan 27th 2018 - Mphasis Shares credit back to trading account today - I just got a contract note from my broker and final acceptance ration is 20%, I was holding 150 shares and 30 got accepted in the buyback.
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6. Vin  12/10/2018 5:05:26 PM Reply
Experts need advice
On record date I had 70mphasis shares
But after record date, I switched to new Demat account and closed my old demat account
I have got the tender form with old demat details
Please advice what can I do to tender these shares?
Can I drop email to registrar?
Thank you in advance
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6.1. Team TSB  12/10/2018 10:06:32 PM
As you have changed your demat account, We think this should not be a problem. As this process will take considering your PAN Card, but to be safer side, please contact the registrar and discuss your case. Please call Mr Giridhar and explain your case, he should be in condition to answer your question.

Integrated Registry Management Services Private Limited
30, Ramana Residency, 4th Cross,Sampige Road,
Malleswaram,
Bengaluru - 560 003.
Tel: +91 80 23460815 and 23460818F
ax: +91 80 23460819
Email: Email
Website: www.integratedindia.inContact
Person: Mr. Giridhar
SSEBI Regn. No.: INR000000544
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5. CA Sachin jain  11/27/2018 6:42:49 PM Reply
Experts Comments - Acceptance Ratio Tentative- 40%+
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4. PRAMOD GUPTA  11/27/2018 12:09:03 AM Reply
ARE YOU TELL ME MPHASIS LTD 2018 BUYBACK OPEN DATE AND BUYBACK ENE DATE
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3. Kunal  11/11/2018 11:13:51 AM Reply
It''s almost 3 weeks from the record date for Mphasis when the company is going to announce Buyback dates.
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3.1. CA Sachin jain  11/22/2018 2:53:22 PM
last year it took 5 weeks to declare buyback start and end date by Mphasis, we assume similar time window and expected dates to be finalized by 28th Nov 2018 as the record date for buyback was 25th Oct 2018.
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2. Puneet Jain  8/14/2018 10:09:21 AM Reply
Mphasis Buyback opportunity for retail Investors
  • The retail holding in MphasiS is less than 0.7% (as on March 31, 2018)

  • 15% reservation for the buy back of 3.8% of paid-up equity implies at least 0.57% of paid up equity will be bought from retail investors

  • Possible Acceptance ratio = 0.57 / 0.7 = 81% (as on March 31, 2018)

Retail investors looking for short term opportunity can buy the shares (upto the value of INR 2 lakhs - as on the record date) from the open market and tender them in the buy-back offer. Assuming acceptance ratio (range from 60%-80%) and the market price INR 1,170, investors can earn an absolute return between 9%-12% (subject to short term capital gains tax) over the next 2-3 months (average time taken from board approval to payout in recent tender offers). Any change in acceptance ratio could further impact absolute returns.


Key risks for Mphasis Buyback Retail Investors:
  • Additional retail shareholders buy the stock before the record date leading to lower acceptance ratio

  • The current market price (assumed for calculation of profits) drops before one is able to exit post buy back
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2.1. D Singhvi  9/20/2018 2:05:24 AM
Dear Punit Jain

YouR analysis is really detailed ,I have a query regarding KIOCL buyback ,can you please analyze and let the small investors know the Possible acceptance ratio for the same ?

Thank you
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2.2. Kapil  10/26/2018 10:36:03 PM
Mphasis - As of 30th June 2018 - Promoters hold a 52.4% stake, foreign institutional investors (FIIs) control 29.2%, and domestic institutional investors (DIIs) hold 9.1%. The others, including retail, hold only 9.4%. This is why the acceptance ratio is expected to be quite high—nearly 80% — assuming all retail shareholders tender their shares.
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1. Prashant  8/4/2018 11:41:21 PM Reply
Dear Admin, Why has the Music Today buyback not been listed on this site ?
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9.1. Team TSB  8/7/2018 11:20:19 PM
Music Today buyback is an open market offer, so in such case, the retail investor can''t tender shares.






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