NYSE-listed BPO major Genpact today said it will repurchase company's shares worth up to USD 250 million (about Rs 1,545 crore).
The US-based firm announced that its Board of Directors has authorised the repurchase of up to USD 250 million of the company's common shares from time to time on the open market or in privately negotiated transactions.
The repurchase programme will be funded through cash or debt facilities, it added.
Genpact's cash and cash equivalents stood at about USD 462 million as of December 31. It had around 218.7 million common shares outstanding during the same period.
The timing and amount of any shares repurchased will be determined by Genpact's management based on its evaluation of market conditions and other factors, it said.
Repurchases may also be made under a Rule 10b5-1 plan that would permit shares to be repurchased when the firm might otherwise be precluded from doing so under insider trading laws, it said.
The repurchase programme may be suspended or discontinued at any time, it said.
"A share repurchase programme is an important tool in our capital allocation framework and reflects our confidence in Genpact's ability to deliver long-term profitable growth and generate significant operating cash flow," Genpact President and CEO N V Tyagarajan said.
Genpact will continue to consider opportunities, including acquisitions, that allow it to create value for the shareholders, he added.
For the fiscal 2014, company's net profit declined 16 per cent to USD 192 million against USD 227.9 million in 2013.
Whereas, revenues rose by 7 per cent to USD 2.28 billion from USD 2.13 billion during the same period.
Genpact expects revenues in 2015 to be in the range of USD 2.46-2.50 billion. It follows January-December as fiscal year.
