Route Mobile's Board green signals Rs 120 crore buyback plan; stock tumbles ~5%

29 Jun 2022 , 09:21 AM

In its filing with the exchanges, Route Mobile Limited informed that the board of directors of the company has approved the buyback by the Company of its fully paid-up equity shares having a face value of Rs10 each at a price not exceeding Rs1,700 per Equity Share and for an aggregate amount not exceeding Rs120 crore.

The Buy Back will be via the Open Market route through the stock exchange mechanism and consideration shall be payable in cash.

The indicative maximum number of Equity Shares bought back at the Maximum Buyback Price and Maximum Buyback Size would be 705,882, which is 1.12% of the total number of paid-Up Equity Shares of the Company.

Furthermore, the Buyback shall not exceed the Maximum Buyback Size, which represents 9.95% and 7.31% of the aggregate of the Company’s total paid-up equity share capital and free reserves as of March 31, 2022, respectively, and is within the prescribed statutory limit of 10% of the aggregate of the fully paid-up equity share capital and free reserves.

Route Mobile is currently trading at Rs1,268.40 down by Rs60.3 or 4.54% from its previous closing of Rs1,328.70 on the BSE. The scrip opened at Rs1,260 and has touched intraday high and low of Rs1,294.05 and Rs1,252.30 respectively.