Software company Sasken Communication Technologies will launch its Rs 108-crore share buy-back offer through tender route on August 10.
"The buy-back proposal through Tender Offer route is being implemented in keeping with the company's desire to enhance overall shareholders value," Sasken Communication said in a notice to shareholders.
The buy-back offer was approved by the company's board on on April 23. The offer will close on August 24 and final evaluation by its registrar Karvy Computershare Private Limited will be done on August 31.
"The buy-back would lead to reduction in outstanding number of equity shares and may consequently increase earnings per equity share over a period of time," the company said.
Sasken has decided to buy-back 41.57 lakh equity shares, representing 19.48 per cent of total paid-up equity share capital of the company, at a price of Rs 260 apiece.
Promoters of the company have expressed interest to participate in the process and cumulatively offer about 6.88 lakh shares in the process which at buy-back price amounts to Rs 17.89 crore.
The company posted 17 per cent increase in consolidated net profit at Rs 9.85 crore in the first quarter ended June 30, 2015.
Shares of Sasken Communication closed at Rs 248.6 apiece, up by 0.65 per cent, at BSE.
