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Gail Buyback 2021: Record Date, Price, & Illustration

Gail Buyback 2021: State-run gas utility GAIL will spend up to Rs 1,046 crore to buy back 1.55% of its total shares, the company said in a public filing. The board green-lighted the buyback plan on Friday. The company would repurchase 6.97 crore shares at a rate of Rs 150 per equity share, an 8% premium to Friday’s price of Rs 139.

Gail buyback 2021

GAIL (India) Ltd. is a Central Public Sector Undertaking (PSU) under the Ministry of Petroleum and Natural Gas, with the mission of accelerating and optimizing the effective and economic use of Natural Gas and its fractions for the benefit of the national economy.

GAIL, having started as a Gas Transmission Company during the late eighties, has grown organically by building a large network of Natural Gas pipelines covering over 11,000 km; two LPG Pipelines covering more than 2,000 km; six Gas Processing plants for the production of LPG and other liquid hydrocarbons, with a combined production capacity of around 1.3 MMTPA, and a gas-based integrated petrochemical plant of capacity 810,000 TPA. The Company also has 70% equity share in Brahmaputra Cracker and Polymer Limited (BCPL) which has set up 280,000 TPA polymer plant in Assam. Further, GAIL is a co-promoter of ONGC Petro-additions Limited (OPaL) which is implementing a greenfield petrochemical complex of 1.4 MMTPA polymer capacity at Dahej in the State of Gujarat. The company has integrated upstream into the business of Exploration & Production with participating interests in 11 E&P Blocks, including 2 blocks in Myanmar. GAIL has also integrated downstream into the high growth retail City Gas Distribution business both in India and abroad.

Gail Buyback Offer Deal 2021

SymbolGAIL
BuyBack Period25 Feb 21 to 10 Mar 21
Offer Amount₹ 1046 Crores
Offer TypeTender
Offer Price₹ 150 Per Equity Share
BuyBack Record DateJan 28 2021
Date of Public AnnouncementJan 15 2021
Buyback Number of Shares6,97,56,641
Face Value₹ 10
Book Running Lead ManagerIDBI Capital Markets & Securities Limited
RegistrarMCS Share Transfer Agent Limited
Contact person name number and Email idMr. Amarjit Singh
admin@mcsregistrars.com

Profit & Loss Consolidated Figures Of Gail

ParticularMar
2011
Mar
2012
Mar
2013
Mar
2014
Mar
2015
Mar
2016
Mar
2017
Mar
2018
Mar
2019
Mar
2020
TTM
Sales +3507044093509746176560557520534855254496761907250861776
Expenses +2850837054435475378054923475244253746701662836349554646
Operating Profit65627040742779855635452960157796990790137130
OPM %19.00%16.00%15.00%13.00%9.00%9.00%12.00%14.00%13.00%12.00%12.00%
Other Income49372288712509427371218954175138054018
Interest378366437669652822509295159309330
Depreciation8781041131916441433149615411527166720802242
Profit before tax579963556558692244922949518369289831104298576
Tax %31.00%31.00%34.00%32.00%32.00%37.00%35.00%31.00%33.00%9.00%
Net Profit40214444437447863160186933684799654694228519
EPS in Rs8.929.859.710.617.014.147.4710.6414.5120.8918.89
Dividend Payout %24.00%25.00%28.00%28.00%24.00%37.00%56.00%43.00%25.00%31.00%
Source: Screener.in

Profit from the buyback on the bases of acceptance Ratio:

Buy 1333 Shares (2,00,000/150=1333) at CMP of Rs. 138.50 approx (Closing Price on 15th Jan 2021) [Expected Acceptance Ratio: 20-30%]

Acceptance Ratio33.00%50.00%75.00%100.00%
Amount Invested in Buyback184667184667184667184667
No. of Shares buyback440666.6710001333.33
BuyBack Profit506076671150015333
Profit(%)2.74%4.15%6.23%8.30%

How to Participate in buyback?

  • Firstly, to be eligible for the buyback the investor should have shares of Gail Buyback 2021 in Demat or physical form as on record date [28.01.2021]
  • Once you have shares in Demat, you can participate in the buyback process which is opening from [25.02.2021 to 10.03.2021], by selling your shares through your broker on NSE or BSE.
  • Then on [19.03.2021] the payment will be given to you for accepted shares and unaccepted shares will be returned to your Demat account.

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