Garware Technical Fibres Announces Buyback of Equity Shares at INR 680 Per Share
Garware Technical Fibres Limited announced a proposal to buyback its equity shares, aiming to return surplus funds to shareholders and improve the company's return on equity (ROE). The board of directors approved the buyback at a price of INR 680 per equity share, payable in cash.The company's board meeting for the buyback proposal was held on May 08, 2026. The announcement was made public on May 12, 2026, following a public announcement published in major newspapers.
Buyback Offer Details
Under the proposed buyback, Garware Technical Fibres Limited plans to acquire up to 16,17,500 fully paid-up equity shares of the company. These shares have a face value of INR 10/- each.The key parameters of the buyback are summarized below:
| Metric | Detail |
|---|---|
| Total Shares to Buyback (Maximum) | 16,17,500 |
| Buyback Price per Share | INR 680/- |
| Total Aggregate Value | INR 110,00,00,000 (Indian Rupees One Hundred Ten Crore only) |
| Basis of Payment | Cash |
| Record Date for Eligibility | Wednesday, May 20, 2026 |
The buyback is being implemented through the tender offer route using the stock exchange mechanism.
Financial Rationale
The buyback is being undertaken after considering the strategic and operational cash requirements of the company and the cash liquidity reflected in the latest available audited financial statements as of March 31, 2025.The maximum buyback amount of INR 110,00,00,000 is considered within the prescribed statutory limits. As per the audited financial statements for the year ended March 31, 2025:
- The Buyback Size represents 9.46% of the total paid-up Equity Share capital (standalone).
- The Buyback Size represents 9.35% of the total free reserves (consolidated).
The company has stated that the funds for the proposed buyback will be sourced from the company's free reserves, including the securities premium account.
Shareholding Information
The buyback will be proportionate to the shareholding of all eligible shareholders. As of the date of the public announcement, the aggregate shareholding of the promoter and promoter group is detailed as follows:| Shareholder Name | Number of Equity Shares | % Shareholding |
|---|---|---|
| Vayu Ramesh Garware | 61,57,400 | 6.20% |
| Mayuri Vayu Garware | 50 | Negligible |
| Garware Capital Markets Limited | 1,82,01,250 | 18.34% |
| VMIR Investment Limited | 45,93,555 | 4.63% |
| VRG Investments Private Limited | 44,06,000 | 4.44% |
| Vimlabai Garware Research Institute Private Limited | 27,70,695 | 2.79% |
| Moonshine Investments and Trading Company Private Limited | 22,88,725 | 2.31% |
| Manmit Investments and Trading Company Private Limited | 14,19,925 | 1.43% |
| Total | 6,29,70,480 | 53.36% |
The company noted that the promoter and promoter group have expressed their intention not to participate in the buyback.
The eligible shareholders have the option to either participate in the buyback and receive cash in lieu of their shares or choose not to participate, which would result in an increase in their percentage shareholding post the buyback offer without additional investment.
The buyback process is subject to the tender offer process prescribed under the SEBI Buyback Regulations and the Companies Act, 2013.
GARFIBRES Stock Price Movement
As of 2:33 PM, shares of Garware Technical Fibres Limited are slipping by 0.22% in live trading, currently hovering at ₹624.8. The equity sheds ₹1.40 in a session marked by moderate activity, with 65,791 shares traded so far.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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