BSE mulls another buyback, board to meet on July 6; shares soar

BSE Ltd (formerly Bombay Stock Exchange) on Monday said its board will meet on July 6 to mull a buy back proposal. The announcement sent its stock soaring. Shares of BSE—listed solely on the NSE—rose 9.8 per cent to finish at Rs 668. 

If the board approves, this will be the third share repurchase by the country’s only listed equity bourse since its listing in January 2017.

Previously, BSE has done a Rs 166-crore open market buy back in 2018 at Rs 822 per share (unadjusted price). In 2019, the exchange did a tender route buyback worth Rs 460 crore, when it repurchased its shares at Rs 680 apiece.

At the end of financial year 2022-23 (FY23), BSE was sitting on cash of little over Rs 3,000 crore. Currently, the cash-rich exchange commands a market cap of around Rs 9,000 crore.