Wipro is all set to announce a share buy-back offer, the third by the IT services major, with the market watchdog SEBI giving its approval.
The company’s board would decide on the size of the buy-back offer and the price when it meets on April 16.
As per IT analysts, the latest buy-back offer may be worth about ₹12,000 crore.
Stocks move up
The announcement pushed up the stock prices by 2.76% with Wipro closing at ₹280 on the BSE on Wednesday.
The firm had previously bought back shares worth ₹2,500 crore in 2016 and ₹11,000 crore in November-December 2017.
Harit Shah, IT analyst with Reliance Securities, said the buy-back would boost earnings per share and return on equity.TCS, Wipro, Cognizant, HCL Technologies and Mindtree had all undertaken share buy-backs in the past few years. Last year, Infosys did a $2-billion buy-back, the first in its 36-year history.