What is a Buy Back Offer?

A buyback offer is a corporate action where a company offers to repurchase its shares from existing shareholders at a specified price within a certain period. Buybacks can be conducted through two modes: Open Market Route or Offer Tender Route.

How to Apply for a Buyback:

• Online: If you have shares in your primary Demat account, you can apply online. Ensure you have free holdings of the shares in your Demat account as of the record date.
• Offline: If your shares are in a secondary Demat account, you need to apply offline by writing to us from your registered email ID through our support portal.

Note: DDPI must be enabled in your Demat account for us to process the buyback request.

Differences Between Open Market Buyback & Tender Offer Buyback

• Open Market Buyback: The company buys back its shares in the open market within a defined period at or below a maximum price.
• Tender Offer Buyback: Existing shareholders must apply separately for acceptance.

Charges Applicable for Buyback

• Processing Fee: ₹50 + GST (non-refundable if no shares are accepted).
• Other Charges: All charges applicable to a normal sale transaction will also apply to the buyback.

Inactive Accounts and Buyback Participation

To participate in a buyback, inactive accounts must first be reactivated. Activation is subject to Exchange approval, so ensure your account is active well before the buyback offer closes.

Processes After Bidding for Buyback

1. Verification: We check for DDPI and verify the quantity of shares.
2. Transfer: If sufficient shares and DDPI are available, the shares are moved from your Demat account to the company’s designated account.
3. Bidding: We place the buyback bid on the Exchange platform, and confirmation is sent via email.

Important: After placing a buyback request, do not sell the shares in the secondary market.

Payment and Share Return

• Accepted Offers: Funds will be credited to the bank account linked to your Demat account or Trade Ledger for NRE accounts.
• Unaccepted Offers: Shares will be returned to your Demat account within 7-10 working days.

Note: Ensure your bank account details are updated to avoid delays in receiving funds.

Is it Safe to Offer Shares on the Last Date of Buyback?

It’s risky to submit a buyback request on the last day due to the time required for processing. To ensure successful processing, submit your request at least one day before the offer closes or by 12 PM on the last day.