Local search engine Justdial today said it will spend up to Rs 164.5 crore in buying back shares from shareholders.
In a filing to the BSE, Justdial said it will "buy back up to 10,61,499 fully paid-up equity shares of face value of Rs 10 each at a price of Rs 1,550 per equity share".
It added that the buyback will be undertaken on a proportionate basis from the shareholders as of December 4 through a tender offer.
"The buyback is being undertaken by the company to return surplus funds to its shareholders, which are over and above its ordinary capital requirements and in excess of any current investment plans", it said.
The company added that the buyback would result in improving earnings per share, mitigating the effects of short-term market volatility and enhancing shareholders' confidence among other things.
In a separate notice to BSE, Justdial said its members have approved December 4 as the record date for the buyback of equity shares at a meeting on November 23.
Shares of the company closed at Rs 929.35 apiece, up 3.07 per cent from the previous close on the BSE.
