SIS announces share buyback at ₹404 per share, offer to open on June 12

The company's share price closed today on the NSE at ₹371.60, representing an 8.7% premium to the buyback offer

SIS Limited, formerly Security and Intelligence Services (India) Limited, a leading provider of security, facility management, and cash logistics solutions, has announced a share buyback program, offering to repurchase its fully paid-up equity shares at a price of ₹404 per share.

 

The company's share price closed today on the National Stock Exchange (NSE) at ₹371.60, representing an 8.7 per cent premium to the buyback offer.

 

The buyback aims to return surplus cash to shareholders and enhance overall shareholder value.

 

The Board of Directors of SIS Limited approved the buyback proposal at a meeting held on March 25, 2025.

 

 

The company plans to buy back a maximum of 3,712,871 equity shares, representing 2.57 per cent of the total paid-up share capital, for an aggregate amount not exceeding ₹150 crores.

 

This marks the fourth such buyback by SIS in recent years, demonstrating a consistent strategy of capital allocation to benefit its investors.

 

The buyback will be conducted through the tender offer route, allowing eligible shareholders to participate by tendering their shares at the specified buyback price.

Buyback offer details

The record date for determining the eligibility of shareholders for the buyback has been set as June 6, 2025. This means only shareholders holding shares on or before this date will be eligible to participate in the offer.

 

SIS Limited has reported robust financial performance, with its revenue surging to ₹12,261 crore in FY24, from ₹4,387 crore in FY17, reflecting a compound annual growth rate (CAGR) of 15.8 per cent.

 

The company believes this buyback will optimize returns for shareholders and lead to an improved earnings per share (EPS) and return on equity (ROE) by reducing the number of outstanding shares.

 

The offer price of ₹404 per share represents a significant premium over the prevailing market price at the time of the announcement, providing an attractive exit opportunity for shareholders.

 

The company has clarified that the buyback will not impair its ability to pursue future growth opportunities or meet its operational cash requirements.

Q4 results

The company's Q4FY25 had reported a loss of ₹223.35 crore, it had posted a loss of ₹11.66 crore in the same quarter of previous financial year. However, the company's total income had climbed to ₹3,444.5 crore in the Q4FY25, it had reported ₹3,153.6 crore income in the same quarter of FY24.

 

The company's goodwill impairment expenses in Q4FY25 surged more than fourfold to ₹305.8 crore, significantly higher than the ₹65.6 crore reported in the same quarter of previous year.