L&T approves share buyback proposal worth 9000 crore rupees

Did you know Larsen and Toubro was a company started in India by two Danish engineers, Henning Holck-Larsen and Søren Kristian Toubro, who were taking refuge in this country during the Second World War? Well, it’s now an $18 billion multinational company but with roots very much in apna des. And today, the company has announced a share buyback proposal. And that is our story of the day. My name is Rakesh, and you are listening to Moneycontrol.

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Larsen & Toubro on Thursday approved a buyback proposal of 6 crore shares, amounting to Rs 9,000 crore, at a price of Rs 1,500 apiece. This is a premium of 13.45 percent as of Tuesday’s closing price of Rs 1,322.15. The number of shares make up for 4.9 percent of total paid up equity share capital.

“The buyback is proposed to be made from the shareholders of the Company on a proportionate basis under the tender offer route using the stock exchange mechanism in accordance with the provisions contained in the Regulations and the Companies Act, 2013 and rules made thereunder,” the company said in a filing to the exchanges.