India’s largest power generating company, state-owned NTPC, on Monday i.e. 02nd Nov 2020, received the board’s approval for a share buyback. The board of directors approved the buyback of up to 197.8 million equity shares for Rs 2,275.74 crore, as part of capital restructuring, said the company in a statement

Incorporated in 1958 as a Government of India fully owned public enterprise. NMDC is under the administrative control of the Ministry of Steel, Government of India.

Since inception involved in the exploration of wide range of minerals including iron ore, copper, rock phosphate, limestone, dolomite, gypsum, bentonite, magnesite, diamond, tin, tungsten, graphite, beach sands etc.

NMDC is India’s single largest iron ore producer, presently producing about 30 million tonnes of iron ore from 3 fully mechanized mines viz., Bailadila Deposit-14/11C, Bailadila Deposit-5, 10/11A (Chhattisgarh State) and Donimalai Iron Ore Mines (Karnataka State).

NMDC has made a valuable and substantial contribution to the National efforts in the mineral sector during the last five decades and has been accorded the status of schedule-A Public Sector Company. In recognition of the Company’s growing status and consistently excellent performance, the Company has been categorized by the Department of Public Enterprises as “NAVRATNA” Public Sector Enterprise in 2008.

Strong back up of an ISO 9001 certified R&D Centre, which has been declared as the “Centre of Excellence” in the field of mineral processing by the Expert Group of UNIDO.

NTPC BuyBack Offer Deal 2020

Symbol	NTPC
Issue Period	—
Offer Amount	₹ 2275 Cr.
Offer Type	Tender
Offer Price	₹ 115 Per Equity Share
BuyBack Record Date	Nov 13 2020
Date of Public Announcement	Nov 02 2020
Buyback Number of Shares	19,78,91,146
Face Value	₹ 10
Book Running Lead Manager	—
Registrar	—
Contact person name number and Email id	—

Profit & Loss Consolidated Figures Of NTPC

Particulars	Mar 2009	Mar 2010	Mar 2011	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020
Sales +	42,713	48,312	56,860	65,231	71,518	78,330	79,957	73,396	82,042	88,083	100,287	109,464
Expenses +	32,170	35,275	42,424	49,948	53,432	58,647	62,632	54,847	60,480	65,709	77,588	77,878
Operating Profit	10,543	13,037	14,436	15,282	18,086	19,682	17,324	18,550	21,562	22,375	22,699	31,586
OPM %	25%	27%	25%	23%	25%	25%	22%	25%	26%	25%	23%	29%
Other Income	3,376	2,985	2,412	3,101	4,839	2,836	2,365	1,206	1,627	5,686	2,830	8,209
Interest	2,117	2,078	1,735	2,139	2,491	3,263	3,669	3,366	3,753	4,447	5,605	8,189
Depreciation	2,495	2,894	2,720	3,107	3,823	4,770	5,565	5,771	6,010	7,460	8,669	10,356
Profit before tax	9,307	11,049	12,392	13,137	16,611	14,486	10,456	10,618	13,426	16,154	11,255	21,250
Tax %	13%	20%	25%	25%	24%	21%	4%	-2%	20%	35%	-25%	44%
Net Profit	8,092	8,838	9,348	9,813	12,591	11,404	9,986	10,801	10,720	10,544	13,737	11,600
EPS in Rs	8.18	8.93	9.45	9.92	12.72	11.53	10.09	10.92	10.83	10.66	13.88	11.72
Dividend Payout %	37%	35%	34%	34%	38%	42%	21%	26%	37%	40%	44%	27%

Profit from the buyback on the bases of acceptance Ratio:

Buy 1739 Shares (2,00,000/115=1739) at CMP of Rs. 90 aprox (Closing Price on 2nd Nov, 2020) [Expected Acceptance Ratio: 30%]

Acceptance Ratio	33%	50%	75%	100%
Amount Invested in Buyback	156510	156510	156510	156510
No. of Shares buyback	574	870	1304	1739
BuyBack Profit	14347	21738	32606	43475
Profit	9.17%	13.89%	20.83%	27.78%

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