Infosys stock turns ex-dividend; shares down 2.4%

Infosys was the top loser on the BSE index as the company turned ex-dividend on Tuesday. The stock posted biggest intraday percentage loss since September 4.

At the closing trade, the shares were down 2.43 per cent at Rs 921.65 on the BSE. On the NSE, the stock fell 0.98 per cent to Rs 922.

Fall in Infosys' shares weighed on BSE IT index, pulling it down by 0.64 per cent. Infosys' stock was down about 7 per cent this year up to Monday's close.

Earlier this month, the company had announced

November 1 as the record date for determining the entitlement and the names of the equity shareholders, to whom the Letter of Offer will be sent and will be eligible to participate in the buyback.

The buyback offer was announced on August 19 this year. It involved buying back of 11.3 crore shares (4.92 per cent of its equity) through a tender offer at a price of ₹1,150 a share resulting in a total offer size of ₹13,000 crore.

In April this year, the company had said that it will pay up to Rs 13,000 crore to shareholders during the current financial year through dividend and/or share buyback .

Infosys, which has cash reserves of about $6 billion on its books, has been under pressure from investors to utilise the amount either through share buyback or generous dividend.

(With inputs from Reuters )