Tips Ind rises on board nod for share buyback

Buyback will be at a price not exceeding Rs 90 per share via an open market purchase

Tips Industries has rallied 9% to Rs 64.20 after the board of Taurani Brothers-promoted movies and entertainment company approved the buyback of its shares at a maximum price of Rs 90 per share through an open market purchase.

“The board of directors of the company at its meeting held on July 25, have approved the buy-back of fully paid up equity shares of the company of Rs 10/- each at a price not exceeding Rs 90/- per share,” Tips Industries said in a fling.

“The buyback is for a maximum amount of Rs 8.00 crore, which is within 10% of the paid-up equity capital and free reserve of the company as at March 31, 2012,” it added.

The promoters of the company, Taurani Brothers hold 64.09% stake, followed by non-institutional investors, which hold 35.91% stake, while the remaining 12.88% stake are with the bodies corporate. The stock opened at Rs 64.25 and hit a high of Rs 68.85 on the Bombay Stock Exchange. A combined 36,340 shares have changed hands on the counter so far on both the exchanges.