Sun Pharmaceutical announces a buyback of Rs 1,700 crore

The board of directors of Sun Pharmaceutical Industries has approved share buyback amid broad market sell-off. The board in today’s meeting, approved equity share buyback of Rs 1,700 crore at a maximum price of Rs 425 apiece, which represents nearly 15 per cent premium from Monday’s closing.

This buyback is almost 9.83 per cent of the total paid up equity capital and 4.44 per cent free reserves of FY19. At a maximum buyback price, the number of shares that can be bought is 4 crore i.e. 1.67 per cent of the total number of equity shares.

Buyback in this turmoil market has lent confidence in the investors of the company.

The stock of Sun Pharmaceutical in today’s session was trading in a positive terrain. The stock which opened at Rs 373.45 apiece surged nearly seven per cent from the previous close to touch an intraday high of Rs 395.15. the stock settled for the day at Rs 372.3, up by a per cent from previous close.

Sun Pharmaceutical is the world's fourth-largest speciality generic pharmaceutical company as well as India's top pharmaceutical company.