INSUBCONTINENT EXCLUSIVE:
Thomas Cook Thursday said it has received board approval for a buyback of up to 26 million fully paid up shares at a price of Rs
57.50 apiece for a maximum aggregate amount of Rs 150 crore
The buyback price is at a premium of 40% over the closing market price on Feb 25 the statement said
The buyback record date has been fixed as March 7, 2020 and the transaction will be entirely funded by internal accruals
in a statement.
The process will help the company return cash to its shareholders enhancing the overall return for them
It involves a reservation of up to 15% of the equity shares for small shareholders which would benefit "a significant number" of them
shares is exempt from tax," said chairman Madhavan Menon.
"The combined impact of a sluggish economy and difficult trading conditions due to
the prolonged direct impact of the Corona Virus, have resulted in slowing demand across our businesses
Given that this coincides with the peak booking season for the summer vacations, we anticipate a cascading negative impact on our results,"
