Tech Giant Wipro Sets Record Date For Buyback Offer

IT behemoth Wipro Ltd has a whopping Rs 12,000 crore buyback plan in store for its shareholders. Wipro said in its exchange filing that it has slated June 16, 2023, as the record date, which will be used to determine equity shareholders’ names and their eligibility for the buyback.

While announcing the buyback plan worth $12,000 crore, the IT major had set a floor price of $445 per equity. Up to 269,662,921 shares with a face value of 2 will be repurchased by Wipro from the shareholders; this represents 4.91 per cent of all equity shares.

Speaking of, this will be Wipro’s first buyback in more than two years. Wipro’s most recent buyback cost 9,500 crores and took place between December 29, 2020, and January 11, 2021. Wipro offered 22,89,04,785 equity shares as part of this buyback, totalling $9,156 crore and accounting for 96.38% of the total buyback size. Prior to that, between August 14 and August 28, 2019, Wipro began a buyback programme for 10,500 crore.

Members of the company’s promoter and promoter group have declared their intent to take advantage of the buyback offer. Promoters and the promoter group owned more than 400.19 billion equity shares, or 72.92%, as of March 31, 2023. Azim Premji, his wife Yasmeen, and their two sons Rishad and Tariq are a few of the promoters.

Wipro reported a decrease in consolidated net profit of 0.4% year over year (YoY) to 3,075 crore. The IT services provider had previously reported a 3,053 crore profit. Overall operating revenue increased by 11.2% to reach 23,190 crores from 20,860 crores at the same time the previous year. In the December quarter, there were 23,229 crore in sales. Constant currency revenues for the company decreased 0.6% sequentially, while dollar revenues increased 0.7% quarter over quarter.