Bayer CropScience tumbled 7.6% to Rs 1,616 at 9:54 IST on BSE after the company on Monday, 22 July 2013, announced share buyback through tender offer route at a steep discount to the ruling market price.
The company made the announcement of the share buyback details after market hours on Monday, 22 July 2013.
Meanwhile, the S&P BSE Sensex was up 151.28 points or 0.75% at 20,310.40.
On BSE, 28,020 shares were traded in the counter as against average daily volume of 5,431 shares in the past one quarter.
The stock hit a high of Rs 1,639.80 and a low of Rs 1,570 so far during the day. The stock had hit a record high of Rs 1,775 on Monday, 22 July 2013. The stock had hit a 52-week low of Rs 765.05 on 25 July 2012.
The stock had outperformed the market over the past one month till 22 July 2013, surging 24.52% compared with the Sensex's 7.38% jump. The scrip had outperformed the market in past one quarter, soaring 58.34% as against Sensex's 5.16% rise.
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The mid-cap company has equity capital of Rs 39.50 crore. Face value per share is Rs 10.
Shares of Bayer CropScience were on a roll recently. The stock galloped 19.39% in ten trading sessions to settle at Rs 1,748.95 on Monday, 22 July 2013, from a recent low of Rs 1,464.85 on 8 July 2013. The rally in the stock got momentum after the company on 18 July 2013 said its board will consider share buyback proposal on 22 July 2013.
Bayer CropScience's board of directors at a meeting held on Monday, 22 July 2013, unanimously approved a buyback proposal for purchase by the company of up to 28.79 lakh equity shares of Rs 10 each, representing 7.29% of the total equity capital, from all the shareholders of the company on a proportionate basis through the tender offer route as at a price of Rs 1,580 per equity share, aggregating to approximately Rs 455 crore. The board noted the intention of the promoter group of the company to participate in the proposed buyback. The buyback would be subject to approval of the shareholders by way of a special resolution through postal ballot and all other applicable statutory approvals.
The buyback price of Rs 1,580 per share is at a discount of 9.66% to the stock's closing price of Rs 1,748.95 on Monday, 22 July 2013.
Bayer CropScience's promoters own 71.11% stake in the company (as per the shareholding pattern as on 30 June 2013).
Bayer CropScience reported net profit of Rs 71.80 crore in Q4 March 2013 as against net loss of Rs 21.60 crore in Q4 March 2012. Net sales rose 55.68% to Rs 367.40 crore in Q4 March 2013 over Q4 March 2012.
Bayer CropScience operates in three business segments: Crop Protection, BioScience and Environmental Science
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