Asahi Songwon Colors Ltd board approves buyback of shares at Rs. 330

The Board of Directors of Asahi Songwon Colors Ltd at its meeting held on November 06, 2020 has, approved the buyback of the fully paid up equity shares of the Company of face value Rs. 10 /- each Buyback of fully paid up Equity Shares of face value of Rs. 10 {Rupee Ten only) each not exceeding 2,45,000 Equity Shares {representing 2.00% of the total paid-up equity share capital of the Company as on March 31, 2020) at a price of Rs. 330 (Rupees Three Hundred and Thirty only) per Equity Share (the "Buyback Offer Price") payable in cash for an aggregate amount not exceeding Rs. 8,08,50,000 (Rupees Eight Crore Eight Lakh and Fifty Thousand only) {the "Buyback Offer Size"), excluding taxes payable under Income Tax Act, 1961 and expenses to be incurred for the buyback like transaction costs viz. brokerage, taxes such as securities transaction tax, GST, stamp duty, printing and dispatch expenses etc., which is 3.86 % and 3.86 % of the fully paid-up equity share capital and free reserves {including Securities Premium Account) as per the latest audited standalone and consolidated financial statements of the Company for the financial year ended March 31, 2020 {the last audited financial statements available as on the date of Board Meeting recommending the proposal of the Buyback) and is within the statutory limits of 10% {Ten Percent) of the aggregate of the fully paid-up equity share capital and free reserve s under the board of directors approval route as per the provisions of the Companies Act, 2013 from all the equity shareholders of the Company as on the record date, on a proportionate basis from the shareholders of the Company, through the "Tender Offer" route using mechanism for acquisition of shares through stock exchange.

The Board has fixed November 20, 2020 as the Record Date for determining the entitlement and the names of the Eligible Shareholders / Beneficial Owners to whom the letter of offer will be sent and who will be eligible to participate in the Buyback.

The Board has constituted a committee called "Buyback Committee" and delegated the necessary authority to the Buyback Committee of the Board to do all such acts, deeds, matters and things as it may at its absolute discretion, deem necessary, expedient, usual or proper in connection with the Buyback.

The board also noted the intention of the Promoter of the Company to participate in the Buyback.

Shares of ASAHI SONGWON COLORS LTD. was last trading in BSE at Rs.239.95 as compared to the previous close of Rs. 238.7. The total number of shares traded during the day was 17335 in over 1220 trades.

The stock hit an intraday high of Rs. 254 and intraday low of 232.65. The net turnover during the day was Rs. 4196516.

Source : Equity Bulls

Keywords