Investors who held Bajaj Auto shares at the close of trading on Tuesday, June 23, will be eligible to participate in the buyback. The company will determine eligible shareholders based on its records as of the record date.
Bajaj Auto had announced the buyback alongside its March quarter results. Under the proposal, the company will repurchase up to 46.94 lakh equity shares at a price of ₹12,000 apiece through the tender offer route.
The proposed buyback size represents 1.68% of the company’s total outstanding equity shares.
How will the buyback work?
The buyback will be conducted through the tender offer route, under which shareholders can tender their shares to the company at a fixed price of ₹12,000 per share.
The tendering period is scheduled to begin on July 1, 2026, and will remain open until July 7, 2026, spanning five working days.
Promoters, promoter group entities and persons in control of the company have indicated that they do not intend to participate in the buyback. As a result, their holdings will not be considered while calculating the entitlement ratio.
How does this compare with the previous buyback?
In 2024, Bajaj Auto bought back shares through the tender offer route at a price of ₹10,000 per share. That buyback covered 1.41% of the company’s outstanding equity capital.
The current buyback price of ₹12,000 per share is 20% higher than the previous offer price.
Shareholding pattern
As of the March quarter, promoters held a 55% stake in Bajaj Auto.
The company had nearly 3 lakh retail shareholders, defined as those holding authorised share capital of up to ₹2 lakh, compared to 1.87 lakh shareholders at the end of the December 2023 quarter. However, their ownership remained broadly stable at 5.62%, compared with 5.43% in December 2023.
Mutual fund ownership has increased to 7.17% from 5.32% over the last two years.
Shares of Bajaj Auto ended Tuesday’s session 2.36% lower at ₹9,950 apiece. The stock has gained 19% over the last 12 months.
