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Wipro Buyback Sees 77.40% Retail Acceptance, Bags Double Returns in 18 Days

Wipro's FullStride Cloud Services will be crucial in moving Marelli's local server rooms and Milan Data Center.

At Rs 12,000 crore share buyback programme, Wipro has recorded an acceptance ratio of 77.40% among retail members.
The acceptance ratio aligns with the trend in the firm’s past four repurchase offers, which stayed within the 50-100% range.


For the newest buyback, a retail or small shareholder was defined as someone who held Wipro shares worth less than Rs 2 lakh in market value as of the record date.


The buyback record date was June 16, and the programme settled on June 30. Wipro’s plans to initiate a buyback of about 26.97 crore shares at Rs 445 per unit allowed investors to seize double-digit revenues of 16.7% from the closing price of Rs 381.30.


The returns that investor earned from the buyback was double what they made within the past year. For context, the stock gave negative returns of over 7% in one year, while the buyback gave investors double-digit returns within 18 days.


This buyback programme also brings about the elimination of 4.91% of the company’s shares.
Wipro shares were a major laggard within the information technology pack, and its passive quarterly performance and unsatisfactory growth guidance worsened the situation.


Brokerage firm Motilal Oswal Financial Services remains neutral on Wipro, conveying a price target of Rs 360, representing 9% downside potential from Monday’s closing price.
At 9:42 am, Wipro shares were trading at Rs 396.15 on the NSE, up 1.2% from the previous close.

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