Bajaj Auto share buyback: Record date June 24; what should investors do?
Bajaj Auto buyback: Promoters and promoter group and persons in control of the company have expressed their intention to not participate in the buyback.
- Jun 23, 2026,
- Updated Jun 23, 2026 1:54 PM IST
Bajaj Auto Ltd will turn ex-date for its share buyback on Wednesday. The record date for the buyback is June 24, making Tuesday the last day for investors to buy Bajaj Auto shares to be eligible to participate in the buyback. The two-wheeler maker announced a buyback of 46.94 lakh shares at Rs 12,000 apiece each, totalling Rs 5,633 crore, via tender offer route. A host of companies such as Wipro, Zydus Lifesciences, Dhanuka Agritech, CyberTech Systems, Welspun Living, CMS Info Systems and Garware Technical recently turned ex-date for buybacks.
The Bajaj Auto buyback size constituted 16.93 per cent and 15.59 per cent of the aggregate of the fully paid-up equity share capital and free reserves of the company, which is within the statutory limit of 25 per cent. But since the size is more than 10 per cent of the aggregate of the fully paid-up equity share capital and free reserves of the company, the approval of the shareholders of the company was sought by way of a special resolution, the results of which were announced on June 18, 2026.
What should investors do?
Saurabh Jain, Head of Fundamental Research at SMC Global Securities said based on the announced buyback terms, Bajaj Auto’s buyback presents a reasonably attractive opportunity for retail investors, though the potential gains are likely to be moderate rather than exceptional.
"The buyback price of Rs 12,000 per share represents a premium of nearly 19 per cent over the prevailing market price of around Rs 10,076, offering an attractive exit avenue for shareholders whose shares are accepted in the tender process. However, the overall buyback size remains relatively small, with the company proposing to repurchase only 46.94 lakh shares, equivalent to 1.68% of its outstanding equity capital," Jain said.
Jain said 15 per cent of the buyback is reserved for retail shareholders, but the retail shareholder base is significantly larger than the reserved quota.
"Based on the current shareholding pattern, the theoretical entitlement ratio works out to approximately 4.5–5 per cent, suggesting that acceptance may remain limited. Although actual acceptance ratios could be somewhat higher depending on participation levels and shareholder behavior, investors should not expect the exceptionally high acceptance rates witnessed in certain past buybacks," Jain said.
Should investors buy Bajaj Auto today?
Jain said for investors purchasing shares solely for the buyback, the economics are further constrained by the Rs 2 lakh retail eligibility limit.
"At current prices, an investor can acquire only about 19–20 shares while remaining within the retail category. Even assuming a favorable acceptance ratio of 10–15 per cent, only a small portion of the holding may be accepted at the buyback price, with the remaining shares continuing to be exposed to post-buyback market movements," he said.
No promoter participation
Promoters and promoter group and persons in control of the company have expressed their intention to not participate in the buyback. Given this, they will not be considered for computing the entitlement ratio. "To that extent, the Eligible Shareholders will have a higher Buyback entitlement ratio," Bajaj Auto said.
Tender period The tender period for the buyback offer will commence from Wednesday, July 1, 2026. This is no later than four working days from the record date. The buyback issue will remain open fora period of five working days, until Tuesday, July 7, 2026.
Tender form In due course, the eligible shareholders will receive the Letter of Offer along with a tender form indicating the entitlement of the eligible shareholder for participating in the buyback. Even if the eligible Shareholder does not receive the Letter of Offer along with a tender form, they may participate and tender shares in the buyback.
The Letter of Offer will be dispatched through electronic mode only, within two working days from the record date (June 24) and that if any eligible shareholder requires a physical copy of the Letter of offer, a request has to be sent to the company or registrar to the Buyback i.e. KFin Technologies Limited.
Buyback categories Bajaj Auto's shares proposed to be bought back will be divided into two categories and the entitlement of a shareholder in each category will be calculated accordingly. The first is category reserved (15 per cent) for small shareholders, who hold shares whose market value, on the basis of closing price is not more than Rs 2,00,000. The second is the general category for all other eligible shareholders.
Entitlement ratio The entitlement for the eligible shareholder will be calculated based on the number of shares held by the respective eligible shareholder as on June 24 and the ratio of buyback applicable in the category.
Participation voluntary
The participation of the eligible shareholders in the buyback is voluntary. They may opt to participate, in part or in full, and receive cash in lieu of the equity shares accepted under the buyback, or they may opt not to participate and enjoy a resultant increase in their percentage shareholding, after the completion of the buyback, without any additional investment.
"Eligible Shareholders also have the option of tendering additional shares (over and above their entitlement) and participate in the shortfall created due to non-participation of some other Eligible Shareholders, if any, "Bajaj Auto said.
The maximum number of shares that can be tendered under the buyback by any eligible shareholder cannot exceed the number of shares held by them as on the record date.
Bajaj Auto Ltd will turn ex-date for its share buyback on Wednesday. The record date for the buyback is June 24, making Tuesday the last day for investors to buy Bajaj Auto shares to be eligible to participate in the buyback. The two-wheeler maker announced a buyback of 46.94 lakh shares at Rs 12,000 apiece each, totalling Rs 5,633 crore, via tender offer route. A host of companies such as Wipro, Zydus Lifesciences, Dhanuka Agritech, CyberTech Systems, Welspun Living, CMS Info Systems and Garware Technical recently turned ex-date for buybacks.
The Bajaj Auto buyback size constituted 16.93 per cent and 15.59 per cent of the aggregate of the fully paid-up equity share capital and free reserves of the company, which is within the statutory limit of 25 per cent. But since the size is more than 10 per cent of the aggregate of the fully paid-up equity share capital and free reserves of the company, the approval of the shareholders of the company was sought by way of a special resolution, the results of which were announced on June 18, 2026.
What should investors do?
Saurabh Jain, Head of Fundamental Research at SMC Global Securities said based on the announced buyback terms, Bajaj Auto’s buyback presents a reasonably attractive opportunity for retail investors, though the potential gains are likely to be moderate rather than exceptional.
"The buyback price of Rs 12,000 per share represents a premium of nearly 19 per cent over the prevailing market price of around Rs 10,076, offering an attractive exit avenue for shareholders whose shares are accepted in the tender process. However, the overall buyback size remains relatively small, with the company proposing to repurchase only 46.94 lakh shares, equivalent to 1.68% of its outstanding equity capital," Jain said.
Jain said 15 per cent of the buyback is reserved for retail shareholders, but the retail shareholder base is significantly larger than the reserved quota.
"Based on the current shareholding pattern, the theoretical entitlement ratio works out to approximately 4.5–5 per cent, suggesting that acceptance may remain limited. Although actual acceptance ratios could be somewhat higher depending on participation levels and shareholder behavior, investors should not expect the exceptionally high acceptance rates witnessed in certain past buybacks," Jain said.
Should investors buy Bajaj Auto today?
Jain said for investors purchasing shares solely for the buyback, the economics are further constrained by the Rs 2 lakh retail eligibility limit.
"At current prices, an investor can acquire only about 19–20 shares while remaining within the retail category. Even assuming a favorable acceptance ratio of 10–15 per cent, only a small portion of the holding may be accepted at the buyback price, with the remaining shares continuing to be exposed to post-buyback market movements," he said.
No promoter participation
Promoters and promoter group and persons in control of the company have expressed their intention to not participate in the buyback. Given this, they will not be considered for computing the entitlement ratio. "To that extent, the Eligible Shareholders will have a higher Buyback entitlement ratio," Bajaj Auto said.
Tender period The tender period for the buyback offer will commence from Wednesday, July 1, 2026. This is no later than four working days from the record date. The buyback issue will remain open fora period of five working days, until Tuesday, July 7, 2026.
Tender form In due course, the eligible shareholders will receive the Letter of Offer along with a tender form indicating the entitlement of the eligible shareholder for participating in the buyback. Even if the eligible Shareholder does not receive the Letter of Offer along with a tender form, they may participate and tender shares in the buyback.
The Letter of Offer will be dispatched through electronic mode only, within two working days from the record date (June 24) and that if any eligible shareholder requires a physical copy of the Letter of offer, a request has to be sent to the company or registrar to the Buyback i.e. KFin Technologies Limited.
Buyback categories Bajaj Auto's shares proposed to be bought back will be divided into two categories and the entitlement of a shareholder in each category will be calculated accordingly. The first is category reserved (15 per cent) for small shareholders, who hold shares whose market value, on the basis of closing price is not more than Rs 2,00,000. The second is the general category for all other eligible shareholders.
Entitlement ratio The entitlement for the eligible shareholder will be calculated based on the number of shares held by the respective eligible shareholder as on June 24 and the ratio of buyback applicable in the category.
Participation voluntary
The participation of the eligible shareholders in the buyback is voluntary. They may opt to participate, in part or in full, and receive cash in lieu of the equity shares accepted under the buyback, or they may opt not to participate and enjoy a resultant increase in their percentage shareholding, after the completion of the buyback, without any additional investment.
"Eligible Shareholders also have the option of tendering additional shares (over and above their entitlement) and participate in the shortfall created due to non-participation of some other Eligible Shareholders, if any, "Bajaj Auto said.
The maximum number of shares that can be tendered under the buyback by any eligible shareholder cannot exceed the number of shares held by them as on the record date.