Aarti Drugs on Tuesday said its board will meet later this week to consider a share buyback proposal.
What is Buyback?
The Share buyback is a corporate action in which a company buys back its shares from the existing shareholders usually at a price higher than the market price.
When it buys back, the number of shares outstanding in the market reduces.
Regulatory filing
“A meeting of the Board of Directors of the company is scheduled to be held on Friday, March 19, 2021, to consider the proposal of buyback of the fully paid-up equity shares of the company.”
Company’s Financial
The firm reported a 144.92% rise in Q3 net profit to Rs 68.04 crore against Rs 27.78 crore profit in corresponding quarter of previous fiscal.
Total income climbed 12.35% to Rs 532.26 crore in Q3 against Rs 473.76 crore in Q3 of last fiscal.
Impact on Stock Market
Shares of Aarti Drugs were trading 6 per cent higher at ₹688.60 apiece on BSE.
Share touched an intraday high of Rs 708 climbing 6.05% against previous close of Rs 667.60 on BSE.
The mid cap stock opened with a gain of 2.17% at Rs 682.10.
The share trades higher than 5 day, 20 day, 50 day and 200 day moving averages but lower than 100 day moving averages.
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