BPO major Genpact will repurchase its common shares worth up to $300 million (about Rs 1,839 crore) under a modified ‘Dutch auction’ tender offer starting today.
Dutch Auction is a public offering auction structure in which the price of the offering is set after taking in all bids and determining the highest price at which the total offering can be sold.
In a filing to US SEC, Genpact late Wednesday night said: “It intends to purchase up to $300 million of its common shares through a modified ‘Dutch auction’ tender offer that it expects to commence on March 6, 2014.”
Also in some cases, the price on an item is lowered until it gets a bid. The first bid made is the winning bid and results in a sale, assuming that the price is above the reserve price.
“Genpact intends to finance the share repurchase from available cash and cash equivalents and borrowings under its existing credit facility,” the filing added.
- After Congress Vice President Rahul Gandhi, Liquor Baron Vijay Mallya’s Twitter Account Hacked
- Find Out What PM Narendra Modi Told Cabinet Over Demonetisation Decision
- Home Minister Rajnath Singh Assures Safety Of All Tourists Stranded On Havelock Island
- Government To Waive Service Tax On Debit, Credit Card Transactions Of Up To Rs 2,000
- President Pranab Mukherjee Criticises Parliament Disruptions Over Demonetisation
- Pakistan International Airlines Flight Carrying Over 40 Passenger On Board Crashes
- Shah Rukh Khan On Raees Clash With Kaabil: It’s Impossible To Have A Solo Release In India
- US-President Elect Donald Trump Named TIME’s Person Of The Year 2016
- O. Panneerselvam: 10 Things You Need To Know
- PM Narendra Modi Slams Opposition For Not Letting Parliament Function
- Nawazuddin Siddiqui On Working In Raees: Was Nervous To Shoot With Shah Rukh Khan
- Bathinda Dancer Murder: Video Showing Accused Opening Fire At Marriage
- 5 Lesser Known Facts About Sasikala Natarajan
- Congress Leader Shashi Tharoor’s Delhi Home Burgled: Here’s What Happened
- Reserve Bank Of India Keeps Repo Rate Unchanged Post Demonetisation
Genpact generated $311.6 million in cash from operations in 2013, up from $310.7 million of cash a year earlier, which included about $45 million from an upfront client payment. It had about $571.3 million in cash and cash equivalents as of December 31, 2013.
Under the terms of the tender offer, Genpact shareholders will have the opportunity to tender some or all of their shares at a price per share of not less than $16.50 per share and not greater than $18 per share, it said.