The board of directors of JustDial on Thursday approved a buyback proposal worth ₹220 crore. The company plans to buy back up to 31.42 lakh shares (4.84 per cent of the total paid-up equity capital) at ₹700 a share.
The buyback will be done through the tender offer route on proportionate basis, the company said in a notice to the stock exchanges. The buyback size (₹220 crore) represents 23.92 per cent of the total paid-up equity share capital and free reserves (including securities premium account) as per the latest audited financial statements of the company for the financial year ended March 31, 2019.
The company will later announce the record date, which will identify the eligible shareholders to participate in the buyback.
Shares of JustDial jumped 7 per cent at ₹471.05 on the BSE.
It may be recalled that in 2018, JustDial had launched and successfully completed a buyback worth ₹220 crore.