VRL Logistics Ltd board approves buyback of equity shares

The Board of Directors of VRL Logistics Ltd at its meeting held February 6, 2021 has approved a proposal to buyback of the fully paid-up Equity shares of face value of Rs. 10/- each by the Company from the shareholders/beneficial owners of the Company(other than those who are promoters, promoter group or persons in control), for an aggregate amount not exceeding Rs. 60 Crores (Indiam Rupees Sixty Crores Only) ("Maximum Buyback Size"), and at a price not exceeding Rs/ 300/- (Indian Rupees Three Hundred Only) per Equity Share("Maximum Buyback Price") payable in cash from open market through the stock exchanges mechamism i.e., using the elechonic trading facilities of the stock exchanges where the equity shares of the Company are listed i.e., National Stock Exchange of India Limited ("NSE") and BSE Limited ("BSE"), in accordance with the Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018 as amended ("SEBI Buyback Regulations") and the Companies Act 2013, and rules made thereunder, each as amended (the process hereinafter referred as "Buyback").

The Maximum Buyback Size and Maximum Buyback Price do not include any expenses incured or to be incurred for the Buyback viz. brokerage, costs, fees, turnover charges, taxes such as buyback tax, securities transaction tax & goods and services tax (if any) and income tax, stamp duty, advisors fees, printing and dispatch expenses, filing fees and other incidental and related expenses and charges (collectivety referred to as "Transaction Costs"). The Maximum Buyback Size represents 9.73% of the aggregate of the tobal paid-up capital and free reserves of the Company based on the audited financial statements of the Company as at March 31, 2020, respectively (being the latest audited financial statements of the Company, available at the Board Meeting), which is less than 10% of the total paid-up capital and free reserves of lhe Company in accordance with the proviso to the Regulation 5(i)(b) of the SEBI Buybdck Regulations.

At the Maximum Buyback Price and for the Maximum Buyback Size, the indicative maximum number of Equity Shares proposed to be bought back would be 20,00,000(Twenty Lakhs only) Equity Shares("Maximum Buyback Shares") which is 2.21% of the total number of paid up Equity shares of the Company and accordingly it will not exceed 25% of the total number of Equity Shares of the Company. If the Equity Shares are bought back at a price below the Maximum Buyback Price, the actual number of Equity Shares bought back could exceed the indicative Maximum Buyback Shares (assuming full deployment of Maximum Buyback Size) but will always be subject to the Maximum Buyback Size.

Further, the Company shall utilize at least 50% of the Maximum Buyback Size i.e., Rs. 30 Crores (Indian Rupees Thirty Crores Only) ("Minimum Buyback Size") for the Buyback, and based on the Minimum Buyback Size and the Maximum Buyback price, the Company will purchase an indicative minimum of 10,00,000 (Ten Lakhs Only) Equity Shares ("Minimum Buyback Shares").

Shares of VRL Logistics Ltd was last trading in BSE at Rs.204.9 as compared to the previous close of Rs. 199.95. The total number of shares traded during the day was 78510 in over 2031 trades.

The stock hit an intraday high of Rs. 207.5 and intraday low of 198.95. The net turnover during the day was Rs. 16004507.

Source : Equity Bulls

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