The Board of Directors of Ajanta Pharma Limited at its meeting held on November 3, 2020, has approved a proposal of buyback along with the Q2FY21 Results.
Buyback Details
Buy Back Size (In Cr.) |
135.97 |
Number of Shares |
735000 |
Buyback Offer Size |
0.84% of Total number of shares |
FV (In Rs.) |
2 |
Buyback Price (In Rs.) |
1850 |
Closing on announcement day |
1609 |
Premium |
14.9% |
Record Date |
November 13, 2020 |
About Ajanta Pharma
Ajanta Pharma Limited (APL) is a multinational company based in India engaged in the development, manufacturing, and marketing of pharmaceutical formulations.
It has a presence in India, the United States, and about 30 other countries in Africa, Asia, the Middle East, and CIS. It was established in 1973.
They serve a wide range of therapeutic segments like Anti-Biotic, Anti-Malarial, Anti-Diabetic, Cardiology, Gynecology, Orthopedics, Pediatric, Respiratory & General Health products.
Q2 FY21 Performance Highlights
- On a consolidated basis, the company’s net profit increased 46.29% to Rs 170.22 crore on an 11.38% rise in revenue from operations to Rs 715.91 crore in Q2 September 2020 over Q2 September 2019.
- Profit before tax (PBT) jumped 54.27% to Rs 249.24 crore in Q2 September 2020 over Q2 September 2019.
- EBITDA rose 54% to Rs 274 crore in Q2 September 2020 over Q2 September 2019. EBITDA is at 38% of revenue from operations.
- Total exports in Q2 September 2020 were at Rs 499 crore, a growth of 12% year-on-year. During Q2 September 2020, R&D expenses declined 27.5% to Rs 29 crore (4% of revenue) from Rs 40 crore in Q2 September 2019.
- The board has also approved payment of an interim dividend of Rs 9.50 per equity share along with results and Buyback, the record date is on 13 November 2020.
Financials
(In Cr.) |
Sep-20 |
Jun-20 |
Mar-20 |
Dec-19 |
Revenue |
676.51 |
560.85 |
560.68 |
530.55 |
Total Income |
762.75 |
573.95 |
614.78 |
581.72 |
Interest |
-1.35 |
-1.2 |
-2.93 |
-0.84 |
Tax |
-83.31 |
-42.78 |
-41.11 |
-57.45 |
Net Profit |
225.22 |
115.69 |
88.51 |
108.32 |
Equity |
17.54 |
17.54 |
17.54 |
17.54 |
EPS |
25.81 |
13.26 |
10.14 |
12.41 |
NPM % |
33.29 |
20.63 |
15.79 |
20.42 |
Pre-Buyback shareholding pattern as of October 30, 2020
Minimum Acceptance Ratio
Shares Reserved for Retail |
1,10,250 (15% of 735000) |
Total Retail Shares |
63,58,011 |
Minimum Acceptance Ratio Retail |
1.73% |
Non – Retail Shares |
6,24,750 (85%) |
Minimum acceptance Ratio Non-Retail (Approx.) |
0.77% |
- To be eligible for the buyback the investor should have shares of Ajanta Pharma in Demat or physical form as on record date.
- Investment should be less than equal to Rs. 2 Lacs to qualify as a retail Investor.
- The final Acceptance ratio for the retail and non-retail category is calculated as the ratio of the number of shares offered in each category divided by the total number of shares tendered in each category.
- Prior to this buyback, Ajanta Pharma has done buyback in February 2019 at a price of 1300.
Profit from Buyback based on acceptance ratio
For Retail Investors =2,00,000/1850=108
Buy 108 Shares at Rs.1573 (Closing of 9th Nov’20)
Acceptance Ratio |
33% |
50% |
75% |
100% |
Amount Invested in Buyback |
169884 |
169884 |
169884 |
169884 |
No. of Shares buyback |
36 |
54 |
81 |
108 |
BuyBack Profit |
9872 |
14958 |
22437 |
29916 |
Profit |
5.81% |
8.80% |
13.21% |
17.61% |