TCS Buyback 2020 Review

Rated 3.5/5 by Team TopShareBrokers


TCS

Save Brokerage Upto 60%

India’s largest software service company has announced its share buyback for the year 2020. This is the 3rd buyback from TCS in last 4 years. In 2017 and 2018 also TCS has done the buyback of Rs 16,000 Cr each.

Current TCS buyback is also similar size which is Rs 16,000 Cr. The company has announced to repurchase 5.33 cr shares which are 1.42% of the total paid-up equity @ Rs 3000 per share. The price of the buyback is 9.6% premium to the previous closing day of the announcement date.

What is TCS Buyback details?

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

    Buyback Type: Tender Offer
    Buyback Offer Amount: Rs 16000 Cr
    Buyback Number of Shares: 5.33 Cr
    Buyback Price: Rs 3000
    Buyback Offer Size (In %): 1.42%
    Total Share Capital: Rs 1,027,177.79 Cr
    Face Value: 1 Per Equity Share

Can I Invest today to participate in TCS buyback offer? No

What are TCS Buyback Important Dates?

In this section we have covered all important dates related to TCS 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.

    TCS buyback offer important dates
    Buyback Activity Date
    Board Meeting for Buyback proposal 7th Oct 2020
    Buyback Approval date 7th Oct 2020
    Public Announcement of Buyback 7th Oct 2020
    Record Date 28th Nov 2020
    Buyback opens on/Buyback Opening Date 18th Dec 2020
    Buyback closes on/Buyback Closing Date 1st Jan 2021
    Cut-off date to receive completed tender forms by Registrar 3rd Jan 2021
    Cut-off date for verification by the Registrar 11th Jan 2021
    Cut-off date to inform Stock Exchange on acceptance or non-acceptance
    of tendered Equity Shares by Registrar
    11th Jan 2021
    Last date of settlement of bids on the stock exchange 12th Jan 2021
    Last date to return unaccepted shares by Registrar 12th Jan 2021
    Last date of extinguishment of Equity Shares 19th Jan 2021

TCS Share Holding Pattern as of Sep 2020

Stock Holding table gives a clear picture on retail investor holdings of TCS 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 0.0%
    Promoter-Indian 72.05%
    Non-Promoter-Institutions 23.95%
    Non-Promoter-Non-Institutions 4.01%

TCS Public Announcement >>Document

TCS Draft Letter of Offer >>Document

TCS Post Buyback Public Announcement >>Document

TCS 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 2679.65 per equity share - in such case Max 74 Equity Shares as of Record Date 28th Nov 2020.
    • General category for all Shareholders other than Small Shareholders (General Category)

    TCS Ratio of Buy Back

    Category Entitlement Ratio of Buyback Per Equity Shares Entitlement Ratio of Buyback in %
    Reserved Category 2 Equity Share out of every 5 fully paid-up Equity Share held on the Record Date. 41.05
    General Category 2 Equity Share out of every 165 fully paid-up Equity Share held on the Record Date. 1.21%

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

Current and Upcoming Buybacks Key dates

The table below will give you a complete dashboard view for all open buyback offer in current market.

Current and Upcoming Buybacks Key dates
Company NameBuyback TypeOffer AmountBuyback PriceCMPRecord DateBuyback Open DateBuyback End Date
eClerx ServicesTender Offer₹303 Cr32002214.35 (-1.56%)TBDTBDTBD

Guaranteed Save 60% to 90% Brokerage + Taxes

Do you know you could reduce the brokerage cost significantly by moving to another stock broker? Our expert team compare top share brokers in India to help investors like you. STOP paying Demat AMC, brokerage in %, PCM fee and high stamp duty today.

We can help you choose the right broker. Contact us today...

Detail Article on Benefit from buyback offer >> Read

TCS 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 TCS? How can I apply in TCS Buyback offer?

Company Contact Information

TATA Consultancy Services Ltd,
9th Floor Nirmal Building,
Nariman Point.
Mumbai-400021

Registrar Contact Information

Request

Last Updated on 2021-01-25T21:35:05+00:00


Buyback FAQs

  1. 1. What is the record date for TCS buyback offer?

    The Record Date for TCS Buyback offer is 28th Nov 2020

    Which means you should hold the TCS share in your demat account by closing session of 28th Nov 2020. Share purchased on and before (28th Nov 2020) - 2 business days will be available in your demat account by 28th Nov 2020.

  2. 2. How much I can make with TCS buyback offer?

    Its all depend on acceptance ratio which usually announce with Letter of Offer. Lets assume if you have TCS shares at ₹2735 and buyback offer price is ₹3000, you can get ₹265 per accepted share. If you hold 73 shares of TCS and if proportionate acceptance is between 33% and 50%, in such case you are eligible to sell your 24 to 36 shares with the gain from buyback of ₹6360 to ₹9540.

    The percentage of proportionate acceptance varies from company to company. This percentage can be also 100% which means that company buys all of your shares.

    TCS Buyback Profit Calculation

    % Share AcceptedNo of Shared AcceptedGain from Buyback Offer
    33%24₹6360
    50%36₹9540
    75%55₹14575
    100%73₹19345
  3. 3. How to Participate in TCS buyback offer?

    Steps to participate in TCS buyback:

    1. On Record date (28th Nov 2020) you must have share of TCS in your demat account/physical form. Depositing of share in your DP account usually take T+2 days, so you need to plan your buying accordingly.
    2. After that company announces buyback open and close window, so you need to tender your share in buyback process. You can do this online or contact your broker to tender your share in buyback, so he can place a request on your behalf.
    3. Next step is with registrar - depend on buyback acceptance ratio, your shares will be sold in buyback process and fund will directly debited in your bank account. Any rejected share will be revert in your demat account which you can sell in open market or hold for long term gain.
  4. 4. How many TCS share are eligible for buyback?

    Share holders who hold less than 2 lakh worth of shares are consider in Retail Category. All others will consider in General Category. Last trading price on record date will be used to calculate the eligibility criteria.

  5. 5. When I will know how much shares accepted in TCS buyback offer?

    As this is a buyback tender offer, shares are accepted in proportionate basis. Proportionate acceptance / rejection will be returned back to the eligible shareholders directly by the Registrar on or before 12th Jan 2021.

  6. 6. When I need to tender TCS share for buyback?

    Buyback opening date for TCS: 18th Dec 2020

    Buyback closing date for TCS: 1st Jan 2021

    This is the window when you need to submit your application for proposal for share buyback. If you are submitting tender forms or submitting physical share certificates, it must reach to registrar by 3rd Jan 2021.


User Comments

Say hello

Find us at the office

Chappa- Adamitis street no. 38, 81811 Tripoli, Libya

Give us a ring

Alda Runion
+69 213 130 910
Mon - Fri, 10:00-22:00

Say hello