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Pidilite Industries hits record high as board to consider share buyback

The stock hit a record high of Rs 924, up 4% on the BSE after Pidilite Industries said that its board will meet on December 26, to consider the proposal to buyback the equity shares of the company.

SI Reporter  |  Mumbai 

Pidilite ties up with US-based WD-40 Company for multi-purpose spray

hit new record high of Rs 924, up 4% on the BSE in early morning trade after the company announced that its board will meet on Tuesday, December 26, 2017 to consider the proposal to the equity shares of the Company. In a filing to the BSE on December 20, the company said, “has informed that a meeting of the Board of Directors of the Company will be held on December 26, 2017, inter alia, to consider the proposal to the fully paid-up equity shares of the Company.” As of September 2017, promoter holding in stands at 69.59%.

While foreign portfolio investors holds 10.92% stake, followed by individual shareholders (9.28%), insurance companies (4.71%), mutual funds (3.44%) and bodies corporate (1.63%), shareholding pattern data shows. The primary objective of a share programme is to arrest the fall in the value of a stock by reducing the supply of the stock, which essentially pushes up the share price through a better P/E multiple. The other objective is to improve earnings per share (since the same dividend amount is now distributed among fewer shares). However, has outperformed the market by surging 56% thus far in the calendar year 2017, compared to 27% rise in the S&P BSE Sensex.

First Published: Thu, December 21 2017. 09:19 IST
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