Bajaj Auto stock rose over 3 per cent today after the two-wheeler major said its board would meet on June 27 to consider a proposal for the buyback of fully paid-up equity shares.
The stock of Bajaj Auto climbed 3.14 per cent to Rs 3,747.60 against the previous close of Rs 3,629.80 on BSE. The auto stock opened higher at Rs 3,960 on BSE.
Shares of Bajaj Auto are trading higher than the 5-day, 50-day, 100-day, and 200-day moving averages but lower than 20-day moving averages. The stock has gained 14.06 per cent in 2022 and fallen 11.75 per cent in a year.
Total 7,022 shares changed hands amounting to a turnover of Rs 2.61 crore on BSE. The market cap of the firm rose to Rs 1.07 lakh crore.
On June 14, the country's leading two-and-three-wheeler company said it has deferred the proposal of share buyback. The buyback was scheduled to be considered on the same day.
Bajaj Auto shares plunged 7.13 per cent to Rs 3,603.75 in the same session after the company made the announcement.
On Wednesday, Bajaj Auto said, "We wish to inform you that a meeting of the Board of Directors of the Company is scheduled to be held on Monday, 27 June 2022, inter-alia to further deliberate on the proposal for buyback of fully paid-up equity shares of the company in accordance with the Securities and Exchange Board of India (Buy-back of Securities) Regulations, 2018."
Last time, the company carried out a share buyback was in 2000. At that time, shareholders had approved a buyback of up to 1.8 crore equity shares at Rs 400 per share.
Bajaj Auto reported a 15 per cent fall in two-wheeler sales year-on-year as 1,53,397 lakh units were exported in May 2022 compared to 1,80,212 units in May 2021. Total sales comprising domestic sales and exports stood at 2, 49,499 units in May this year versus 2,40,554 units in the corresponding period a year ago.
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