Sebi turns down L&T's Rs 9,000-cr share buyback citing compliance issues
L&T applied for the buyback in compliance with the required ratio post buyback on the basis of its standalone financial statements
The Securities and Exchange Board of India (Sebi) has denied approval to Larsen & Toubro’s (L&T’s) Rs 9,000-crore share buyback plan, citing compliance issues over its post-buyback debt-equity ratio. “You are, therefore, advised not to proceed with this buyback offer,” the market regulator wrote in its January 18 letter to L&T. “Since the ratio of the aggregate of secured and unsecured debts owed after the buyback would be more than twice the paid-up capital and free reserves based on consolidated financial statements, the buyback offer is not in ...