TCS plans share buyback as Chandrasekaran moves to Tata HQ

TCS’ outgoing MD N ChandrasekaranTCS’ outgoing MD N Chandrasekaran
MUMBAI: Tata Consultancy Services (TCS), the most valuable company within the Tata Group, will consider a share buyback, which, if approved by its board on February 20, will be its first since its listing in 2004. Given the headroom allowed by securities laws, the company could do a buyback ranging between Rs 6,536 crore to Rs 16,340 crore.

TCS’ outgoing MD N Chandrasekaran said that investors had suggested that the company should distribute its excess cash either in the form of dividends or through a share repurchase programme. The software giant has cash and investments of Rs 39,219 crore on its books, which is 8% of its market capitalisation. The buyback plan comes days before Chandrasekaran takes charge as the chairman of TCS’ parent Tata Sons.

“A share buyback is a better substitute to dividends especially for large shareholders, if one takes into account the dividend distribution tax and additional surcharge,” said Mehul Savla, director of Ripple Wave Equity. Tata Sons holds 73% in TCS.

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Looking forward value addition.Jag Mohan

Rules allow a company to buy back shares of up to 10% of its total net worth without shareholders’ approval and up to 25% with shareholders nod. If TCS goes for 10% of its total net worth of Rs 65,360 crore, then it will have to spend Rs 6,536 crore on the buyback programme. And in case it opts for 25% of its consolidated net worth, then it will have to shell out Rs 16,340 crore. At Rs 6,536 crore, it can buy 1.35% of its total equity at current market price of Rs 2,447 and at Rs 16,340 crore, it can buy 3.4% of its total equity.

Public shareholders hold 27% in TCS, of which 22% is held by institutions with LIC being the largest (3.44%). The balance is held by non-institutions and retail shareholders with former Tata Sons chairman Cyrus Mistry holding over 1.14 crore shares, representing over 13% of TCS’ non-institutional public shareholding.

IT services companies are under pressure to return excess cash to shareholders. Last week, Cognizant announced a $3.4-billion share repurchase and dividend payout programme. There is speculation that Infosys may go for a Rs 12,000-crore share repurchase programme. In 2016, Wipro had announced a Rs 2,500-crore share buyback



Tata Motors shareholders reject pay proposals of 3 executivesTata Motors shareholders reject pay proposals of 3 executives
NEW DELHI: Shares of Tata Motors on Wednesday plunged over 10 per cent, wiping out Rs 15,068 crore from its market valuation, after the company reported a 96.22 per cent decline in consolidated net profit for the December quarter.

The stock tanked 10.32 per cent to end at Rs 436.55 on BSE. During the day, it nosedived 10.64 per cent to Rs 435.

The stock was the worst performer among the 30-sensex components.

At NSE, shares of the company dived 9.45 per cent to close at Rs 436.45.

Led by the sharp dip in the stock, the company’s market valuation plummeted by Rs 15,067.81 crore to Rs 1,25,488.19 crore.

In terms of volume, 36.29 lakh shares of the company were traded on BSE and over 3 crore shares changed hands at NSE during the day.

The stock had lost 5 per cent in the previous session as well.

“TAMO reported another weak quarter with both standalone business and JLR performance coming well below our/street expectation,” Kotak Securities said in a report.

Homegrown auto major Tata Motors on Tuesday reported a 96.22 per cent decline in consolidated net profit to Rs 111.57 crore for the December quarter, dragged down by losses in domestic operations and lower profit of its British arm JLR.

It had posted net profit of Rs 2,952.67 crore in the same quarter of last fiscal, Tata Motors said in a BSE filing.

The company’s consolidated sales during the October- December quarter were down 2.2 per cent to Rs 67,864.95 crore as against Rs 69,398.07 crore in the year-ago period.

On a standalone basis, Tata Motors’ loss after tax widened to Rs 1,046 crore in the third quarter of 2016-17, from Rs 137 crore a year ago


long term report: Tata Tiago

loads’s mendacity at the shoulders of Tata’s little Tiago. it’s miles large on individual and is the emblem’scomplete-hearted attempt to give the air con a nicely-rounded package. You’d agree too that it air con a welcome trade from the usual layout language from this vehicle maker. With stellar pricing and profound packaging, it ought to best be a count number of time whilst the Tiago’s potential is acknowledged by theloads. so to gauge the pleasant of its behaviour our youngest entrant inside the fleet of lengthy termers is the diesel Tiago. Over the subsequent four months we can put it to mission and you may count on a fewdependable perspectives on how this automobile fares first hand.
I admit it. I wasn’t exactly enthusiastic about getting the Tiago within the first region, however a few minutesof acclimatisation become all it took for me to rejig my mind. Tata’s all new Tiago is without a doubt a totallyproperly rounded product, and in its diesel form, infrequently makes a buzz. It’s were given a 1.0-litre Revotorq motor that makes 69bhp and 140Nm of torque. And that’s enough torque to get you going for evenextra than a ordinary travel.

The interior strains is swell deviation from the brand’s version bin till date. air con first-rate too is an ‘unseen’in this section, and the selection of substances used within the cabin is quite clean at the same time aslending a nice experience. The air-contemporary summer vacations suggest frequent choices and drops to the youngsters’s out of doors games area, and the little Tiago doubled up simply high-quality. kids, their guardians, both in their tantrums and air-consequent game device have been taken head-on in the stride.every body preferred the efficient cooling provided through the 24fa9eee4f79f72d04fc88e800c5c089, the seats and also the distance available to hold the device. Our first spherical of tests air con that the Tiagoagain 15.48kpl within the city and 18.27kpl at the dual carriageway to a litre of diesel.

The access of the Tiago into our long time fleet couldn’t were better timed too. With the crackling of the darkercolor of clouds, the onset of the monsoons is markedly only a be counted of days now, and i was searching for an opportunity to my motorcycle. curiously, absolutely everyone at the place of work wants torecognize approximately this hatch. And, additionally desires a pass on the keys! extra on this inside thedays to return..

three,000 units of Tata Tiago sold in first month of sale

3,000 units of Tata Tiago sold in first month of sale

sales of passenger vehicles improved by way of a respectable eleven per cent final month thanks to the ever growing demand for software cars. several carmakers mentioned increase in income because oftheir respective software offerings doing nicely. Tata, however, had the Tiago small automobile bringing ina lot extra clients to the showrooms inside the first month of its release.

The brand, in reality, has sold three,022 units of the Tiago in April. Now despite the fact that thosepreliminary numbers are anticipated to look an upward trend in the coming months, Tata absolutelywould have hoped for better sales performance right from the begin. The company has already receivedover one lakh enquiries from across the usa, in the end.

With ex-showroom expenses beginning at Rs 3.30 lakh and Rs 3.ninety two lakh for petrol and dieselversion respectively, the Tiago, unarguably is a particularly tempting product. As a result, it competes with aextensive range of motors, with the decreaseend variations going up against the Renault Kwid and thehigher-spec ones competing with vehicles just like the Maruti Suzuki Celerio.