Majesco shares trade ex-dividend, locked in 5% upper circuit

Shares of Majesco were locked in 5 per cent upper circuit at Rs 12.20 on the BSE on Wednesday after the stock turned ex-interim dividend for Rs 974 per share today. On Tuesday, the stock closed at Rs 985.45 on the BSE.

Till 11:48 am, a combined 45,800 equity shares had changed hands and there were pending buy orders for 129 million shares on the BSE and NSE, the exchange data shows.

Majesco has fixed Friday, December 25, 2020 as record date for the purpose of payment of interim dividend.

The board of directors of Majesco, at its meeting held on December 15, 2020, had approved an interim dividend of Rs 974 (19,480 per cent) per equity share of face value of Rs 5 each for the financial year 2020-2021.

This interim dividend payout translates to an amount of Rs 2,788.4 crore on a shareholder base of 28.577 million shares. The high dividend payout follows the sale of US arm — which accounted for the bulk of its revenues and profits — to private equity firm Thoma Bravo earlier this year.

Majeco said the balance cash reserves estimated at Rs 103 crore will be distributed subject to board and regulatory approvals.

As regards future plans on monetisation of real estate, the management said this could take longer i.e. over a year and depending on real estate market conditions. Post monetisation of real estate, the company will decide the best method for distribution of sale proceeds to shareholders, it said.