 "RITES Ltd announces share buyback worth Rs 257 cr at Rs 265 per share")
The board of directors at government-owned RITES Ltd has approved buy-back of 96.98 lakh equity shares with a face value of Rs 10 each at Rs 265 per share, translating into the total buyback amount not exceeding Rs 257 crore.
The company was listed in July 2018. At present 72.02 per cent of its shares are held by the government and the balance are with public and financial institutions.
Chairman and Managing Director Rajeev Mehrotra said the company has strong financial fundamentals with a debt-free balance sheet.
"This share repurchase programme reflects management's confidence in the company and growth prospects in sectors and geographies where we operate," he said in a statement.
The board of directors has fixed September 30 as record date for ascertaining eligibility of shareholders for the buyback.
RITES is a mini-ratna category one schedule A public sector enterprise and a leading player in the transport consultancy and engineering sector in India, having diversified services and geographical reach.
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The company has experience spanning 46 years with projects in over 55 countries including Asia, Africa, Latin America, South America and Middle East regions.
RITES is the only export arm of Indian Railways for providing rolling stock overseas (other than Thailand, Malaysia and Indonesia).