National Aluminium Company (Nalco) Buyback 2021: The board of directors of the company in their meeting held on January 27, 2021, has inter-alia approved…buyback of not exceeding 13,02,79,083 (Thirteen Crore Two Lakh Seventy Nine Thousand Eighty-Three) fully paid-up equity shares..at a price of Rs 57.50 per equity share…in cash for an aggregate consideration not exceeding Rs 749,10,47,273 (Rupees Seven Hundred Forty-Nine Crore Ten Lakh Forty-Seven Thousand Two Hundred Seventy-Three only, ” Nalco said in a BSE filing.
National Aluminium Company Limited (NALCO) is a Navratna CPSE under Ministry of Mines. It was established on 7th January, 1981, with its registered office at Bhubaneswar. The Company is a group ‘A’ CPSE, having integrated and diversified operations in mining, metal and power. The Company registered net-profit of Rs. 138 crore and sales turnover of Rs. 8,426 crore in financial year 2019-20. The export earnings have been recorded at Rs. 3,511 crore. Presently, Government of India holds 51.5% equity of NALCO.
NALCO is one of the largest integrated Bauxite-Alumina-Aluminium- Power Complex in the Country. The Company has a 68.25 lakh TPA Bauxite Mine & 21.00 lakh TPA (normative capacity) Alumina Refinery located at Damanjodi in Koraput district of Odisha, and 4.60 lakh TPA Aluminium Smelter & 1200MW Captive Power Plant located at Angul, Odisha. NALCO has bulk shipment facilities at Vizag port for export of Alumina/Aluminium and import of caustic soda and also utilizes the facilities at Kolkata and Paradeep Ports. The Company has registered sales offices in Delhi, Kolkata, Mumbai, Chennai and Bangalore and 9 operating stockyards at various locations in the Country to facilitate domestic marketing.
National Aluminium Company (Nalco) Buyback Offer Deal 2021
| Symbol | NATIONALUM |
| BuyBack Period | Feb 25 2021 to Mar 10 2021 |
| Offer Amount | ₹ 749 Crores |
| Offer Type | Tender |
| Offer Price | ₹ 57.50 Per Equity Share |
| BuyBack Record Date | Feb 08, 2021 |
| Date of Public Announcement | Jan 27 2021 |
| Buyback Number of Shares | 13,02,79,083 |
| Face Value | ₹ 05 |
| Book Running Lead Manager | IDBI Capital Markets & Securities Limited |
| Registrar | KFin Technologies Pvt. Ltd. |
| Contact person name number and Email id | Mr. M. Murali Krishna nalco.buyback2021@kfintech.com |
Profit & Loss Consolidated Figures Of National Aluminium Company (Nalco)
| Particulars | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | TTM |
|---|---|---|---|---|---|---|---|
| 01/03/15 | 01/03/16 | 01/03/17 | 01/03/18 | 01/03/19 | 01/03/20 | TTM | |
| Sales + | 7383 | 6817 | 7543 | 9509 | 11499 | 8472 | 7780 |
| Expenses + | 5510 | 5858 | 6473 | 8159 | 8607 | 7985 | 7135 |
| Operating Profit | 1873 | 959 | 1070 | 1351 | 2893 | 487 | 645 |
| OPM % | 25.00% | 14.00% | 14.00% | 14.00% | 25.00% | 6.00% | 8.00% |
| Other Income | 821 | 659 | 377 | 1170 | 327 | 273 | 212 |
| Interest | 167 | 3 | 3 | 2 | 2 | 6 | 6 |
| Depreciation | 414 | 426 | 480 | 480 | 476 | 530 | 548 |
| Profit before tax | 2113 | 1189 | 964 | 2039 | 2741 | 224 | 303 |
| Tax % | 37.00% | 34.00% | 31.00% | 34.00% | 37.00% | 39.00% | |
| Net Profit | 1322 | 787 | 668 | 1342 | 1734 | 136 | 191 |
| EPS in Rs | 5.13 | 3.05 | 3.45 | 6.94 | 9.29 | 0.73 | 1.02 |
| Dividend Payout % | 34.00% | 65.00% | 81.00% | 82.00% | 62.00% | 205.00% |
Profit from the buyback on the bases of acceptance Ratio:
Buy 3478 Shares (2,00,000/57.50=3478) at CMP of Rs. 48 approx (Closing Price on 27th Jan, 2021) [Expected Acceptance Ratio: 5-10%]
| Acceptance Ratio | 33.00% | 50.00% | 75.00% | 100.00% |
| Amount Invested in Buyback | 166944 | 166944 | 166944 | 166944 |
| No. of Shares buyback | 1148 | 1739 | 2609 | 3478 |
| BuyBack Profit | 10903.53 | 16520.5 | 24780.75 | 33041 |
| Profit(%) | 6.52% | 9.80% | 14.80% | 19.79% |
How to Participate in buyback?
- Firstly, to be eligible for the buyback the investor should have shares of National Aluminium Company (Nalco) Buyback 2021 in Demat or physical form as on record date [08.02.2021]
- Once you have shares in Demat, you can participate in the buyback process which is opening from [Feb 25 2021 to Mar 10 2021], by selling your shares through your broker on NSE or BSE.
- Then on [March 19 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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