Atul Ltd’s Board of Directors has approved a substantial share buyback program, authorizing the repurchase of fully paid-up equity shares for an amount not exceeding ₹90,00,00,000 (Rupees ninety crore only). The buyback will be conducted on the open market through stock exchanges at a maximum price of ₹7,500 per share. This move aims to return value to shareholders and optimize capital structure.
Atul Ltd Announces Major Share Buyback
Atul Ltd has announced a significant share buyback program following a Board of Directors meeting held on October 23, 2026. The company will repurchase its fully paid-up equity shares from the open market, with the total consideration not exceeding ₹90,00,00,000 (Rupees ninety crore only). This represents the Maximum Buy-back Size.
Key Details of the Buyback
The buyback will be executed through stock exchanges, including the National Stock Exchange of India Limited (NSE) and BSE Limited (BSE). The maximum price per equity share that the company will pay is ₹7,500 (Rupees seven thousand five hundred only), referred to as the Maximum Buy-back Price. This buyback is intended to return capital to shareholders and manage the company’s equity structure effectively.
The aggregate consideration of ₹90,00,00,000 is within the statutory limit of 10% of the aggregate of the company’s paid-up equity share capital and free reserves, as per audited financial statements for the year ended March 31, 2026. The minimum amount to be utilized for the buyback is set at ₹67,50,00,000 (Rupees sixty-seven crore fifty lakh only), which is 75% of the Maximum Buy-back Size. Furthermore, ₹36,00,00,000 (Rupees thirty-six crore only), or 40% of the Maximum Buy-back Size, will be utilized during the initial half of the buyback period.
The company confirmed that adequate sources of funds will be earmarked for the buyback, to be met from free reserves, current surplus, cash and cash equivalents, internal accruals, or liquid resources, explicitly excluding borrowed funds. The buyback is subject to maintaining minimum public shareholding requirements.
Lalit Patni, Company Secretary and Chief Compliance Officer, has been appointed as the Compliance Officer for the buyback. MUFG Intime India Private Limited will serve as the Investor Service Centre.
Vivro Financial Services Private Limited has been appointed as the Manager to the buyback, and Nuvama Wealth and Investment Limited will act as the Broker. An escrow account, named “Atul Limited – Buy-back – Escrow Account 2026,” will be opened with State Bank of India.
The company has also confirmed its ability to meet its liabilities and remain solvent for at least one year following the board meeting, considering prospective and contingent liabilities.
Source: BSE
