In a notice to shareholders, Dr Reddy's Laboratories said it is looking to buy back fully paid up equity shares of face value of Rs 5 for a price not exceeding Rs 3,500 per share.
Seeking nod from shareholders through a postal ballot, DRL said the planned shares to be bought back amounts to 14.9 per cent of the paid up share capital and free reserves as on March 31, 2015.
Explaining the rationale behind the move, DRL said: "The company has a strong cash flow position and the buyback proposal aims to effectively utilise surplus cash available."
As on December 2015, promoters held 25.57 per cent stake in the company with 74.43 with the public shareholders.
You’ve reached your limit of {{free_limit}} free articles this month.
Subscribe now for unlimited access.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%