National Aluminium Company (Nalco) Buyback 2021: Record Date, Price, & Illustration

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 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 (Nalco) Buyback 2021

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

BuyBack PeriodFeb 25 2021 to Mar 10 2021
Offer Amount₹ 749 Crores
Offer TypeTender
Offer Price₹ 57.50 Per Equity Share
BuyBack Record DateFeb 08, 2021
Date of Public AnnouncementJan 27 2021
Buyback Number of Shares13,02,79,083
Face Value₹ 05
Book Running Lead ManagerIDBI Capital Markets & Securities Limited
RegistrarKFin Technologies Pvt. Ltd.
Contact person name number and Email idMr. M. Murali Krishna

Profit & Loss Consolidated Figures Of National Aluminium Company (Nalco)

Sales +73836817754395091149984727780
Expenses +5510585864738159860779857135
Operating Profit1873959107013512893487645
OPM %25.00%14.00%14.00%14.00%25.00%6.00%8.00%
Other Income8216593771170327273212
Profit before tax2113118996420392741224303
Tax %37.00%34.00%31.00%34.00%37.00%39.00%
Net Profit132278766813421734136191
EPS in Rs5.133.053.456.949.290.731.02
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 Ratio33.00%50.00%75.00%100.00%
Amount Invested in Buyback166944166944166944166944
No. of Shares buyback1148173926093478
BuyBack Profit10903.5316520.524780.7533041

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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