CARE Ratings Buyback 2022 description – CARE Ratings commenced operations in April 1993 and has established itself as one of the leading credit rating agencies in India. The company covers many rating segments including manufacturing, infrastructure, financial sector including banks, non-financial services, among others. The company has an established track record of rating companies nearly three decades and played a pivotal role in developing bank debt and capital market instruments including CPs, corporate bonds and debentures, and structured credit. Apart from ratings, the company offers services in the realm of advisory, research, training and risk solutions.
CARE Ratings Buyback 2022 Details
| Buyback Dates | 18 Nov – 1 Dec 2022 |
| CARE Ratings Buyback Price | INR515 per share |
| Buyback Offer Size (Shares) | 23,68,000 shares |
| Buyback offer as % of total shares | 7.99% |
| Buyback Offer Size (Amount) | INR121.95 crore |
| Offer Type | Tender |
| Promoter Participation | Not applicable |
| Face Value | INR10 per share |
| Listing At | BSE, NSE |
CARE Ratings Buyback Dates (Timeline)
| Board Meeting for Buyback Proposal | 20 July 2022 |
| Buyback Approval Date | 20 July 2022 |
| Public Announcement of Buyback | 5 September 2022 |
| CARE Ratings Buyback Record Date | 14 September 2022 |
| Buyback Opening Date | 18 November 2022 |
| Buyback Closing Date | 1 December 2022 |
| Cut-off Date to receive completed tender forms by Registrar | 3 December 2022 |
| Verification Date by the Registrar | 5 December 2022 |
| Return of unaccepted shares by Registrar | 12 December 2022 |
| Extinguishment of accepted shares | 19 December 2022 |
CARE Ratings Buyback 2022 Documents
Offer Letter
Draft Letter of Offer
Public Announcement
Upcoming Share Buyback
CARE Ratings Buyback Entitlement Ratio
| Shareholder Category | Entitlement Ratio | Entitlement Ratio (in %) |
| Small Shareholders (less than INR2 Lakh on record date) | 60/539 | 11.13 |
| General category (for all other Eligible Shareholders) | 69/907 | 7.61 |
Small Shareholder is defined as shareholder who holds shares worth less than INR2,00,000 as on record date.
CARE Ratings’ Financial Performance
| FY2020 | FY2021 | FY2022 | |
| Total Income | 314.8 | 357.5 | 360.7 |
| Total Expenses | 192.6 | 192.2 | 239.8 |
| Net income | 73.6 | 106.8 | 78.2 |
Calculation of Investment in Buyback
| Maximum market value of a share holder as on record date | INR2,00,000 |
| Buyback price | INR515 |
| Maximum shares for small shareholder (2,00,000/515) | 389 shares* |
| Closing price of stock as on 20 July 2022 | INR468.75** |
| Maximum amount invested in buyback (468.75 x 389 shares) | INR1,82,344 |
** For simplicity, we have considered price on buyback approval date
CARE Ratings Buyback Profit Guidance
| Shares Tendered | Buyback Entitlement | Acceptance | Buyback Profit | Profit in % |
| 389 | 44 | 44 (100%) | 2,035 | 1.12 |
| 389 | 44 | 88 (200%) | 4,070 | 2.23 |
| 389 | 44 | 132 (300%) | 6,105 | 3.35 |
Registrar of CARE Buyback 2022
KFIN TECHNOLOGIES LIMITED
Selenium Tower B, Plot No – 31 & 32,
Financial District, Nanakramguda,
Serilingampally, Hyderabad Rangareddi,
500 032, Telangana, India
Phone:Â +91 40 6716 2222
Email:Â [email protected]
Website:Â www.kfintech.com
Manager of CARE Buyback 2022
DAM Capital Advisors Limited
One BKC, Tower C,
15th Floor, Unit No.1511,
Bandra Kurla Complex,
Bandra (East), Mumbai 400051
Phone: 22 4202 2500
Email: [email protected]
Website: www.damcapital.in
Process to Participate in CARE Ratings Buyback
All eligible shareholders of the company who own shares in the physical or demat form on the record date may participate in the buyback offer through their stock broker. The eligible shareholders who hold the shares in demat form must notify their brokers of the details of the equity shares that they wish to tender in the buyback offer.
The shareholder must transfer the tendered shares to the clearing corporation’s Special account. In turn, the broker would place a buyback order on the stock exchange.
The eligible shareholders who own the shares in physical form must present their broker with the original share certificates and supporting documents. After document verification is complete, the broker places an order on the stock exchange and submits the original share certificate and TRS (Transaction Registration Slip) to the registrar.
Frequently Asked Questions
When does CARE Ratings share buyback offer open?
CARE Ratings share buyback opens on 18 November 2022 and closes on 1 December 2022.
Which type of buyback is CARE Ratings buyback offer?
CARE Ratings buyback is a tender offer.
What is the CARE Ratings buyback price?
CARE Ratings buyback price is INR515 per share.
What is the CARE Ratings buyback record date?
CARE Ratings buyback record date is 14 September 2022.
