GAIL Buyback 2022 Record Date, Buyback Price, Entitlement Ratio

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Gail Buyback

GAIL Buyback 2022 description – GAIL (India) Limited is a natural gas company that is engaged in the business of production, transmission, trading and exploration of natural gas, petrochemicals, LPG, LNG re-gasification, Liquid Hydrocarbons, etc. The company owns and operates a network of around 13,340 km of natural gas pipelines spread across the country. GAIL (India) Limited was incorporated in 1984.

It owns over 11,500 km of natural gas pipelines, over 2,300 km of LPG pipelines, six LPG gas-processing units and a petrochemicals facility. It also has a joint-venture interest in Petronet LNG Ltd, Ratnagiri Gas and Power Pvt Ltd, and in the CGD business in several cities. GAIL has wholly owned subsidiaries in Singapore and the US for expanding its presence outside India in the segments of LNG, petrochemical trading and shale gas assets.


GAIL Share Buyback 2022 Details

Buyback Dates25 May – 7 June 2022
GAIL Buyback Price INR 190 per share
Buyback Offer Size (Shares)5,69,85,463 shares
Buyback offer as % of total shares1.28%
Buyback Offer Size (Amount)INR 1082.72 crore
Offer TypeTender
Promoter ParticipationYes
Face Value INR 10 per share
Listing AtBSE, NSE

GAIL Buyback Dates (Timeline)

Board Meeting for Buyback Proposal31 March 2022
Buyback Approval Date31 March 2022
Public Announcement of Buyback4 April 2022
GAIL Buyback Record Date22 April 2022
Buyback Opening Date25 May 2022
Buyback Closing Date7 June 2022
Cut-off Date to receive completed tender forms by Registrar9 June 2022
Verification Date by the Registrar14 June 2022
Return of unaccepted shares by Registrar15 June 2022
Extinguishment of accepted shares23 June 2022

GAIL Share Buyback 2022 Documents

Offer Letter
Draft Letter of Offer
Public Announcement
Upcoming Share Buyback


GAIL Share Buyback Entitlement Ratio

Shareholder CategoryEntitlement RatioEntitlement Ratio (in %)
Small Shareholders
(less than INR2 Lakh on record date)
2/258%
General category
(for all other Eligible Shareholders)
2/1791.12%

Small Shareholder is defined as shareholder who holds shares worth less than INR2,00,000 as on record date.


GAIL India’s Financial Performance

FY2019FY2020FY2021
Total Income76,19072,51857,372
Total Expenses66,25263,49550,127
Net income 6,5469,4226,136
Figures in INR crore unless specified otherwise

Working Calculation of Amount Invested in Buyback

Maximum market value of a share holder as on record dateINR2,00,000
Buyback priceINR 190
Maximum shares for small shareholder (2,00,000/190)1,052 shares
Closing price of share as on 31 March 2022INR 155.70
Maximum amount invested in buyback (155.70 x 1,052 shares)INR 1,63,796

Profit from GAIL Buyback by Acceptance Ratio

Acceptance ratioAmount invested in buybackNo. of shares bought backBuyback ProfitProfit in %
33%1,63,79634711,9037.27
50% 1,63,796 52618,04211.01
75% 1,63,796 78927,06316.52

Registrar of GAIL Stock Buyback 2022

MCS Share Transfer Agent Limited
F-65, Okhla Industrial Area Phase 1,
New Delhi 110020
Phone: +91 1141406149, 011 41406148,  
Fax:
+91 1141709881, 011 41709881
Email: [email protected]
Website: www.mcsregistrars.com


Manager of GAIL Share Buyback 2022

IDBI Capital Markets & Securities Limited
6th Floor, IDBI Tower,
WTC Complex, Cuffe Parade,
Mumbai 400005
Phone: +91 2222171953
Email: [email protected]
Website: www.idbicapital.com


Necessity of the Buyback

  • The buy-back gives an option to the equity shareholders to either participate in the buy-back and receive cash in lieu of Equity Shares accepted under the buy-back.
  • The buy-back helps to return surplus cash to its shareholders, in proportion to their shareholding, thereby, enhancing the overall returns to shareholders.
  • The buy-back would help in improving Earning per share (EPS), Return on asset (ROA) and Return on equity (ROE) ratios of the Company.
  • The buy-back, which is being implemented through the Tender Offer route as prescribed under the Buyback Regulations, would involve a reservation for small shareholders as defined in the Buy-back Regulations.

Process to Participate in GAIL Share Buyback

All eligible Shareholders of the Company who own Physical Shares or Demat Shares on the Record Date may participate in the buyback offer through their Stock Broker. The eligible shareholder who holds the shares in Demat form must notify their broker 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 shareholder who owns 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 GAIL share buyback offer open?

GAIL share buyback opens on 25 May 2022 and closes on 7 June 2022.

Which type of buyback is GAIL buyback offer?

GAIL Buyback is a tender offer.

What is the GAIL stock buyback price?

GAIL stock buyback price is INR190 per share.

What is the GAIL stock buyback record date?

The record date is 22 April 2022.

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