TCS Buyback 2023 description – TCS is an IT services, consulting, and business solutions organization partnering with many of the world’s largest businesses in their transformational journeys for the last 55 years. It has a global presence, deep domain expertise in multiple industry verticals, and a complete portfolio of offerings – grouped under consulting and service integration, application services, digital transformation services, cloud services, engineering services, cognitive business operations, and products and platforms – targeting every C-suite stakeholder.
TCS’s geographic footprint covers North America, Latin America, the United Kingdom, Continental Europe, Asia Pacific, India, and Middle-East Africa.
In 2015, It was ranked 64th overall in the Forbes World’s Most Innovative Companies. TCS is one of the largest private-sector employers in India, and the fourth-largest employer among listed Indian companies. It has crossed more than 400,000 employees as of 31 March 2023.
TCS Share Buyback 2023 Details
| TCS Buyback Dates | 1 – 7 Dec 2023 |
| TCS Buyback Price | INR 4,150 per share |
| Market Price on Buyback Approval | INR 3610.20 per share |
| Buyback Premium on Market Price | 14.95% |
| Buyback Offer Size (Shares) | 40,963,855 shares |
| Buyback Offer Size (Amount) | INR 17,000 crore |
| Offer Type | Tender |
| Promoter Participation | Yes |
| Face Value | INR 1 per share |
| Listing At | BSE, NSE |
TCS Buyback Dates (Timeline)
| Board Meeting Intimation for Buyback Proposal | 6 October 2023 |
| Buyback Approval Date | 11 October 2023 |
| Public Announcement of Buyback | 17 November 2023 |
| TCS Buyback Record Date | 25 November 2023 |
| Buyback Opening Date | 1 December 2023 |
| Buyback Closing Date | 7 December 2023 |
| Cut-off Date to receive tender forms by Registrar | 7 December 2023 |
| Verification Date by the Registrar | 11 December 2023 |
| Return of unaccepted shares by Registrar | 14 December 2023 |
| Extinguishment of accepted shares | 26 December 2023 |
TCS Buyback 2023 Documents
Letter of Offer
Public Announcement
Board Approval
Upcoming Share Buyback
TCS Buyback Entitlement Ratio
| Shareholder Category | Entitlement Ratio | Entitlement Ratio (in %) |
| Small Shareholders (less than INR 2 Lakh on record date) | 1/6 | 16.67 |
| General category (for all other Eligible Shareholders) | 2/209 | 0.96 |
A small shareholder is defined as a shareholder who holds shares worth less than INR 2,00,000 as of the record date.
TCS Financial Performance
| FY 2021 | FY 2022 | FY 2023 | |
| Revenue | 1,64,177 | 1,91,754 | 2,25,458 |
| Total Expenses | 1,22,333 | 1,44,085 | 1,72,000 |
| Net income | 32,562 | 38,449 | 42,303 |
Calculation of Investment in Buyback
| Maximum market value of a share holder as on record date | INR 2,00,000 |
| Buyback price per share | INR 4,150 |
| Maximum shares for small shareholders (2,00,000/4,150) | INR 49 shares * |
| Maximum market value of a shareholder as on record date | INR 3,610.20** |
| Maximum amount invested in buyback (INR 3,610.20 x 49 shares) | INR 176,899.8 |
** For simplicity, we have considered the price on the buyback approval date
TCS Buyback Acceptance Ratio
| Shares Tendered | Buyback Entitlement | Acceptance ratio | Buyback Profit | Profit in % |
| 49 | 9 | 9 (100%) | 4,858.2 | 2.75 |
| 49 | 9 | 18 (200%) | 9,716.4 | 5.49 |
| 49 | 9 | 27 (300%) | 14,574.6 | 8.24 |
Registrar of TCS Buyback 2023
LINK INTIME INDIA PRIVATE LIMITED
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli West
Mumbai – 400 083, Maharashtra
Telephone: +91 810 811 4949
Email: [email protected]
Website: www.linkintime.co.in
Manager of TCS Buyback 2023
JM FINANCIAL LIMITED
7th Floor, Cnergy, Appasaheb Marathe Marg,
Prabhadevi Mumbai – 400 025
Phone: +91 22 6630 3030
Email: [email protected]
Website: jmfl.com
Process to Participate in TCS 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 stockbroker. 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 complete document verification, 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
What are TCS buyback dates?
TCS share buyback opens on 1 December 2023 and closes on 7 December 2023.
Which type of buyback is TCS’s buyback offer?
TCS buyback is a tender offer.
What is the TCS buyback price?
TCS buyback price is INR 4,150 per share.
What is the TCS buyback record date?
TCS buyback record date is 25 November 2023.
How to participate in TCS share buyback?
TCS share buyback will be conducted through the tender process and investors who hold the shares on record date can place orders through their broker.
Probabilities of AR for TCS Buy back 2023
(1) If same % of retail investors, who did not participated in March 2022, prefer to remain non-particpant this time (2023) also, then expected AR would be above 35.35
(2) Individual Category shares tendered in March 2022: 6,22,21,854 ( 2,53,42,996 shares were considered as Retail shares)
Dec 2023: Shares tendered : 4,13,33,119 (Retail shares will be known only after official release from TCS post buy back)
Thus participation in individual category is reduced by 2,08,88,735 shares in Dec 23 as compared to March 22.
Based on this difference in Individual Category and subsequently Retail participation, I expect Minimum AR to be 41.28
(3)In 2023, number of bidders decreased by 1,29,429 & among them 1,17,951 bidders might be from retail share category and remaining from general category.
(4)
No separate calculation is done based on number of bidders.
Conclusion:
Minimum AR to be between 35.35 to 41.28
If we take other factors into account, then AR of 60 also is possible.