Crompton Greaves shares today soared by nearly 9 per cent after the industrial and electrical equipment maker said its board has approved the proposal to buy back shares worth over Rs 265 crore.
Following the news,shares of the company jumped 8.92 per cent to close at Rs 87.30 on the BSE. Intra-day,the stock surged 11.47 per cent to Rs 89.35.
At the NSE,the scrip settled at Rs 87,up 8.48 per cent from its previous close.
In terms of volume,20.17 lakh shares of the company changed hands on the BSE,while over one crore shares were traded on the NSE.
The company in a regulatory filing said it would buy back shares from the open market through the stock exchanges at a price of up to Rs 125 per scrip.
The total value of the buy back offer would not exceed “Rs 2,657 million (Rs 265.7 crore) being ten per cent of the total paid-up equity capital plus free reserves as per the audited balance sheet of the company for the year ended March 31,2012,” it said in a regulatory filing.