Infosys' $2-billion buyback tied in regulatory knots

High ADR shareholding forces IT major to obtain multiple clearances

Regulatory complexity threatens to derail the proposed $2 billion (Rs 13,000 crore) share repurchase programme of Infosys. 

The board of the Bengaluru-based technology major had in April approved a Rs 13,000 crore reward for shareholders, either through dividends or as a share buyback in the current financial year.

Infosys has appointed investment bankers and lawyers for the buyback, but regulatory differences in India and the US, where its shares are listed, have complicated matters.

Infosys has sought approval from the Securities and Exchange Board of India (Sebi) and the Securities and Exchange Commission (SEC) in the US for the buyback. Sources said Sebi