KRBL’s Rs 325 crore share buyback at 27% premium to open from August 31, check key details here

Rice exporter KRBL Limited has informed bourses that the company will be opening a Rs 325 crore share buyback from August 31. The company will buyback equity shares of face value Rs 1 each at Rs 500 per unit. The company will be buying back a total of 65 lakh shares. The buyback price represents a significant premium over the current market price of the company’s shares.

The share buyback price represents a 27.55 per cent premium over the current market price.

KRBL Limited shares were trading at Rs 392 apiece, down 0.19 per cent, on BSE at 1:11 PM on Tuesday.

KRBL share buyback will remain open from August 31 to September 6

The buyback is set to open on August 31 and will close on September 6. Investors will have the chance to submit the filled tender form and other documents to the registrar by September 6. However, investors should note that the buyback will only be available for investors who held KRBL shares as of the record date, August 25. The buyback will be settled by September 13. The registrar of the buyback is Alankit Assignments Limited.

The company’s shares have dropped in value by over 2.7 per cent in the past week-long period. KRBL shares have managed to generate returns of around 5 per cent over the past month-long period. Over the past year-long period, KRBL shares have increased by over 40 per cent.

The company’s domestic sales in the first quarter of FY24, reached Rs 845 crore, witnessing 19 per cent growth compared to the same period last year. In a recent investor’s call, the company’s management added that volume sales of consumer pack and bulk pack surged by 6 per cent and 14 per cent, resulting in a 9 per cent year-on-year cumulative increase in overall branded Basmati volume.

The company’s market share also increased 90 basis points to 32.4 per cent in general trade and by 510 basis points to 41.9 per cent in modern trade.