Bajaj Auto sets June 24 record date for Rs 5,632.8 crore share buyback
The buyback committee fixed 24 June 2026 as the record date for a buyback of up to 4.69 million shares at Rs 12,000 each, totalling up to Rs 5,632.8 crore.
What Bajaj Auto announced
Bajaj Auto Ltd filed a notice with BSE and NSE on 18 June 2026 confirming the record date for its proposed share buyback. The Buyback Committee, constituted by the Board of Directors, fixed Wednesday, 24 June 2026 as the record date to determine which equity shareholders will be eligible to participate.
The buyback has already received approval from both the Board of Directors and the shareholders in separate meetings held earlier in the year. The company intends to repurchase up to 4,694,000 fully paid‑up equity shares, each having a face value of Rs 10, at a price of Rs 12,000 per share. The aggregate cash outlay for the buyback is capped at Rs 5,632.8 crore, exclusive of brokerage, taxes, filing fees and other incidental expenses.
"The Buyback Committee ... has fixed Wednesday, 24 June 2026 as the record date for the purpose of determining the entitlement and names of equity shareholders ... who shall be eligible to participate in the Buyback." – Bajaj Auto notice, 18 June 2026.
Details of the buyback
- Number of shares: Up to 4,694,000 shares (Forty‑Six Lakh Ninety‑Four Thousand).
- Buyback price: Rs 12,000 per share, which is 1,200 times the face value.
- Total consideration: Up to Rs 5,632.8 crore (Five Thousand Six Hundred Thirty‑Two Crore and Eighty Lakh rupees).
- Exclusions: The stated amount does not include brokerage, turnover charges, securities transaction tax, GST, stamp duty, filing fees payable to SEBI, legal and advisory fees, or any other incidental costs.
- Regulatory basis: The buyback is being conducted under Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and Regulation 9(i) of the SEBI (Buy‑Back of Securities) Regulations, 2018.
Key facts at a glance
| Detail | Value |
|---|---|
| Company | Bajaj Auto Ltd |
| BSE Code | 532977 |
| NSE Code | BAJAJ‑AUTO |
| Record date | 24 June 2026 |
| Maximum shares to be bought back | 4,694,000 |
| Buyback price per share | Rs 12,000 |
| Maximum cash outlay | Rs 5,632.8 crore |
| Approval | Board of Directors & shareholders |
| Filing date | 18 June 2026 |
| Source | BSE notice (PDF) |
Why this matters for investors
The announcement clarifies the timeline and financial parameters of Bajaj Auto’s share repurchase programme. By fixing the record date, the company establishes which shareholders will be eligible to tender shares, enabling the buyback process to commence once the tender offer is opened. The cash outlay of over Rs 5,600 crore represents a material use of the company’s liquid resources, which could affect its short‑term cash balance and financing flexibility. However, the filing does not disclose how the buyback will be funded—whether from existing cash reserves, debt facilities, or a combination thereof. The exclusion of transaction costs from the headline amount means the actual cash requirement will be higher once brokerage, taxes and other fees are accounted for.
Investors should note that the buyback does not automatically translate into an increase in earnings per share; the impact will depend on the number of shares actually tendered and the timing of the repurchase. The record date also determines eligibility, but participation is voluntary and subject to the terms of the tender offer that will be communicated later.
Conclusion
Bajaj Auto has formally set 24 June 2026 as the record date for its Rs 5,632.8 crore share buyback, covering up to 4.69 million shares at Rs 12,000 each. The programme has already secured board and shareholder approval, and the company will now move to the tender phase. Details on the tender offer mechanics, funding sources and final execution timeline remain to be disclosed in subsequent filings.
FAQs
Q: What is the record date and why is it important? A: The record date, fixed as 24 June 2026, is the cut‑off day on which the company identifies shareholders who are eligible to participate in the buyback. Only those holding shares on that date can tender them.
Q: How many shares does Bajaj Auto intend to buy back and at what price? A: The company may repurchase up to 4,694,000 fully paid‑up equity shares at a price of Rs 12,000 per share.
Q: What is the total amount earmarked for the buyback? A: The maximum cash consideration is Rs 5,632.8 crore, exclusive of brokerage, taxes, filing fees and other incidental expenses.
Q: When was the buyback approved? A: The buyback was approved by the Board of Directors and subsequently by the shareholders in meetings referenced in letters dated 6 May 2026 and 18 June 2026.
Q: Does the disclosed amount include transaction costs? A: No. The Rs 5,632.8 crore figure excludes brokerage, turnover charges, securities transaction tax, GST, stamp duty, SEBI filing fees and other related expenses.
Q: How will the buyback be funded? A: The filing does not disclose the source of funds; it only states the total amount and that the buyback will be payable in cash.
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Source filing: view original