Sebi raises eyebrows as buybacks exceed equity issuances 2.3 times

So far this year, shares worth Rs 23,500 cr bought back in 20 deals vs Rs 10,000 cr raised via IPOs

Capital market regulator Securities and Exchange Board of India (Sebi) has expressed concerns over high amount of share buybacks relative to fresh capital raising in the domestic market. In the past two years, the quantum of share buybacks has far-exceeded the amount of new equity capital raised.

"Equity capital raising has been pretty impressive last year. But the amount which went back to investors was 1.5 times that raised. More money is being returned to investors against money raised," said Ajay Tyagi, chairman, Sebi.

So far this fiscal, India Inc has extinguished shares worth nearly Rs 23,500 crore through 20 buybacks, 2.3