Swaraj Engines scrip ends 5% higher on share buyback plan

The scrip of auto parts and equipment maker Swaraj Engines ended with 5 per cent gains today after the company announced a proposal to buyback shares.

The stock settled at Rs 1,987.05, up 4.89 per cent on BSE. Intra-day, it zoomed 16.49 per cent to Rs 2,207.

At NSE, shares of the company gained 4.41 per cent to end at Rs 1,973.35.

Swaraj Engines Ltd had informed BSE yesterday that a meeting of the Board of Directors will be held on November 28, 2017, to consider the proposal to buyback the fully paid-up equity shares.

Share buybacks typically improve earnings per share and return surplus cash to shareholders, while also supporting share price during period of sluggish market condition.