Nucleus Software Exports Limited announces an Equity Buyback for 3,343,000 shares, representing 10.32% for INR 1,170.05 million.
April 25, 2017 at 07:15 am EDT
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Nucleus Software Exports Limited (BSE:531209) announces a share repurchase program. Under the offer, the company will repurchase up to 3,343,000, representing 10.32% of its issued share capital, for a total consideration of INR 1,177.90 million. The maximum price at which the shares will be repurchased is INR 350 per share. The shares will be repurchased through the tender offer route as prescribed under the SEBI Buyback Regulations. The funds for the implementation of the buyback will be met out of free reserves or security premium of the company. The buyback is a capital allocation decision taken with the objective of seeking a fairer valuation of the company's stock while improving the company's return and increasing shareholders value in the longer term. The Board noted the intention of the promoter/promoter group to participate in the buyback. The buyback program is subject to shareholder approval by way of special resolution through postal ballot and all other statutory approvals. The program will expire on August 31, 2017. As of August 4, 2017, the company has 3,23,86,524 shares in issue.
On June 16, 2017, the company announced that the record date for the offer is June 30, 2017.
Nucleus Software Exports Limited is a provider of lending and transaction banking products to the financial services industry. The Company is engaged in the business of development and marketing of software, product, and software services for business entities in the banking and financial services (BFS) vertical having its operating units located in Noida, Uttar Pradesh. It operates in seven geographical segments: India, Far East, Southeast Asia, Europe, Middle East, Africa, and Australia. Its two flagship products include FinnOne Neo and FinnAxia. FinnOne Neo suite is an end-to-end solution for lending businesses. FinnAxia suite offers an enterprise solution for the transaction banking operations of corporate banks. It provides various lending, such as FinnOne Neo retail lending, FinnOne Neo corporate lending, FinnOne Neo digital channels, and Nucleus lending analytics. Its transaction banking includes advisory services and FinnAxia cash and liquidity management.