The buyback will be for an aggregate amount not exceeding Rs 15,694 million
The Board of Directors of Dr Reddy’s Laboratories (DRL) in their recently held meeting has approved a proposal to buyback equity shares of the company, subject to approval by the shareholders, for an aggregate amount not exceeding Rs 15,694 million.
The buyback is proposed on account of the company’s strong cash flow position and is expected to be EPS accretive contributing to an overall enhancement of value for shareholders going forward. The proposed buyback is subject to approval of the shareholders of the company, by way of a special resolution through postal ballot (including e-voting) and other regulatory approvals, permissions and sanctions, as may be required. Once approved, the public announcement setting out the process, timelines and other statutory details will be released in due course in accordance with the Buyback Regulations.
The company has appointed Kotak Mahindra Capital Company as its merchant banker for the buyback process.