NIIT Tech board approves Rs 337-cr buyback plan

New Delhi, Dec 24 () The board of NIIT Technologies has approved a buyback programme worth Rs 337.46 crore.

The firm's board of directors has approved that "subject to approval of the shareholders by means of a special resolution through postal ballot and regulatory approval(s) as may be required, buyback of up to 19,56,290 fully paid equity shares of a face value of Rs 10 each at a price of up to Rs 1,725 per share", NIIT Technologies said in a regulatory filing on late Monday evening.

This will add up to a value of a little over Rs 337.46 crore and represent 20.23 per cent of the paid-up equity share capital and free reserves of the company, it added.

The buyback is proposed to be made from the company's shareholders under the tender offer route through the stock exchange mechanism, it said.

The public announcement setting out the process, timelines and other requisite details will be provided in due course subject to receipt of requisite approvals and in accordance with the buyback regulations, the filing said.

The board of directors has constituted a buyback committee comprising Hari Gopalakrishnan (non-executive director), Kirtiram Hariharan (non-executive director), Sudhir Singh (CEO), Ajay Kalra (CFO) and Lalit Kumar Sharma (company secretary and legal counsel).

Promoters held 70.12 per cent shares of the company, while Indian institutions such as banks, corporates and others held 15.71 per cent stake as on December 20, 2019. Foreign holding was at 14.17 per cent. SR HRS