Gujarat Apollo Industries Ltd (GAIL) Buyback Review, Offer Details, Price, Dates, Size & more
Last Updated Date: Nov 17, 2022In this article, we will discuss Gujarat Apollo Industries Ltd (GAIL) Buyback offer, buyback price, buyback size, Gujarat Apollo Industries Buyback record date, company financial, buyback necessity, and its impact on the company.
To track the real-time share price of this Buyback, click on this link – Gujarat Apollo Industries Share Price
Gujarat Apollo Industries Ltd (GAIL) Buyback Details
| Buyback Type | Tender Offer |
| Opening Date | April 8, 2021 |
| Closing Date | April 26, 2021 |
| Buyback Offer Amount | Rs.19,13,45,130 |
| Buyback No. of Shares | 8,61,915 |
| Face Value | Rs.10 |
| Date of Buyback Approval | February 13, 2021 |
| Date of Public Announcement | February 16, 2021 |
| Buy Back Price | Rs.222 |
| Buy Back Premium | 0.91% |
| Date of Board Meeting | February 13, 2021 |
Gujarat Apollo Industries Ltd (GAIL) Buyback Opening and Closing Date
The starting and closing date of this buyback are April 8, 2021 and April 26, 2021.
Gujarat Apollo Industries Ltd (GAIL) Buyback Cash Offer
The Cash Offer to Buy-back up to 8,61,915 fully paid-up equity shares of the Company of the face value of Rs.10 each, representing 6.81% of the total number of equity shares.
Gujarat Apollo Industries Buyback Record Date
The decided record date of this buyback is February 26, 2021.
Gujarat Apollo Industries Ltd (GAIL) Buyback Price
At a price of Rs.222 per Equity Share.
Gujarat Apollo Industries Buyback Size
At a buyback price of Rs.222/- payable in cash for an aggregate consideration not exceeding Rs.19,13,45,130/-
Gujarat Apollo Industries Ltd (GAIL) Buyback Acceptance Query
You can check for the Buyback Acceptance query here. Just click on the given link and it will redirect you to the buyback acceptance query page.
Gujarat Apollo Industries Ltd (GAIL) Buyback Acceptance Ratio
Find profit & profit percentage based on various acceptance rates, The profit is calculated based on 1000 shares.
| Acceptance Ratio | Total Shares Accepted | Buyback Price | Buyback Amount | Profit | Profit% |
| 20% | 200 | 222 | 44400 | 1800 | 0.85% |
| 40% | 400 | 222 | 88800 | 3600 | 1.69% |
| 60% | 600 | 222 | 133200 | 5400 | 2.54% |
| 80% | 800 | 222 | 177600 | 7200 | 3.38% |
| 100% | 1000 | 222 | 222000 | 9000 | 4.23% |
Profit is calculated from May 05, 2021 share price i.e. Rs.213 per share of Gujarat Apollo Industries Ltd (GAIL).
According to the above table, if a shareowner applies for 1000 shares of Gujarat Apollo Industries Ltd (GAIL) & gets 20% acceptance from the company and the owner with 1000 shares will sell 200 shares @ Rs.222 per share & receive Rs.1800 as profit amount & 0.85% profit percentage on selling these 200 shares back to the company.
Similarly, if the owner gets 60% acceptance of share from the company, the owner will sell 600 shares @ Rs.222 & receive a profit of Rs.5400 @ 2.54% profit percentage.
Gujarat Apollo Industries Ltd (GAIL) Buyback Overview
The Company is in the business of manufacturing of crushing and screening equipment which includes crushers,
static, portable and mobile crushing and screening plants, recycled asphalt processor, mobile bridge inspection
unit, bucket crusher, etc.
having experience of over four decades in the mining, quarrying, and construction industry. The Company has its manufacturing unit located at Mouje Dholasan, Taluka & District – Mehsana, Gujarat
The Equity Shares of the Company are listed on BSE w.e.f. May 6, 1994 and on NSE w.e.f. June 4, 2007. The Equity Shares are currently traded in the compulsory dematerialized mode under the scrip code 522217 at BSE and the scrip symbol GUJAPOLLO at NSE.
Check other Buybacks with previous, upcoming, and active status
Company Finances – Gujarat Apollo Industries Ltd (GAIL)
The salient features of the financial information of the Company for the last three financial years as at and for the financial year ended March 31, 2020, March 31, 2019, and March 31, 2018 and as at and for the nine months period ended December 31, 2020 on consolidated as well as a standalone basis are given below:
[In Rs. Lakhs]
| Particulars | December 31, 2020 | 12 Months period ended March 31 | ||
| 2020 | 2019 | 2018 | ||
| Total Income | 2,054.29 | 4,586.77 | 4,623.41 | 9,677.86 |
| Total Expenses (excluding finance cost, depreciation & amortization) | 1,350.22 | 3,101.06 | 3,338.54 | 7,647.14 |
| Finance Cost | 27.84 | 91.53 | 115.41 | 150.74 |
| Depreciation and amortization expenses | 116.01 | 228.75 | 232.76 | 240.22 |
| Profit before tax | 560.22 | 1,165.43 | 619.20 | 1,639.76 |
| Provision for tax (including Deferred Tax) |
50.18 | 136.91 | (6.26) | 602.94 |
| Profit /(Loss) after tax | 510.04 | 1,028.52 | 625.46 | 1,036.82 |
| Equity Share Capital | 1,266.19 | *1,266.19 | 1,266.19 | 1,266.19 |
| Reserve and Surplus | 24,649.90 | 24,520.11 | 23,929.74 | 24,059.24 |
| Net-worth | 25,916.10 | 25,786.30 | 25,195.93 | 25,325.43 |
| Total Debt (Excluding working capital loans) | 792.71 | 891.46 | 1,227.97 | 953.01 |
Gujarat Apollo Industries Ltd (GAIL) Buyback Dates
| Date of Board Meeting approving the Buyback | Saturday, February 13, 2021 |
| Date of publication of Public Announcement for Buyback | Tuesday, February 16, 2021 |
| Record Date for determining the Buyback Entitlement and the names of Eligible Shareholders | Friday, February 26, 2021 |
| Buyback Opening date | Thursday, April 8, 2021 |
| Buyback Closing date | Monday, April 26, 2021 |
| Last date of receipt of the completed tender form and other specified documents | Wednesday, April 28, 2021 |
| Last Date of verification of Tender Forms by the Registrar | Tuesday, May 4, 2021 |
| *Last date of intimation regarding acceptance / non-acceptance of Tendered Equity Shares to the BSE Limited by the Registrar | Tuesday, May 4, 2021 |
| Last date of Settlement of Bids on the Clearing Corporation | Wednesday, May 5, 2021 |
| *Last date of return of unaccepted Equity Shares by the Registrar | Wednesday, May 5, 2021 |
| Last date of Extinguishment of Equity Shares | Wednesday, May 12, 2021 |
Details of Public Announcement
In accordance with Regulation 7(i) of the Buyback Regulations, the Company has made the Public Announcement dated March 22, 2021 for the Buyback of Equity Shares published on March 24, 2021 in the following newspapers:
| Publication | Language | Edition |
| Financial Express | English | All editions |
| Jansatta | Hindi | All editions |
| Financial Express | Gujarati | Ahmedabad edition |
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Necessity of Gujarat Apollo Industries Ltd Buyback
The Buyback is being undertaken, inter-alia, for the following reasons:
(i) Reduce the fully paid-up, issued and outstanding number of equity shares and consequently increase earnings per share over a period of time
(ii) Make the balance sheet leaner and more efficient to improve key return ratios like return on net worth, return on capital employed, etc.;
(iii) The Buyback, which is being implemented through the tender offer route as prescribed under the Buyback Regulations, would involve allocation of number of shares as per the entitlement of the shareholders or 15% of the number of Equity Shares to be bought back, whichever is higher, reserved for the small shareholders. The Company believes that this reservation for small shareholders would benefit a large number of public shareholders, who would get classified as “small shareholder” as per Regulation 2(i)(n) of the Buyback Regulations; and
(iv)The Buyback gives an option to the equity shareholders to either (i) choose to participate and get cash in lieu of Equity Shares to be accepted under the Buyback or (ii) choose to not participate and enjoy a resultant increase in their percentage shareholding, post Buyback, without additional investment.
Impact of Gujarat Apollo Industries Ltd (GAIL) Buyback on the Company
The Buyback is not likely to cause any material impact on the profitability/ earnings of the Company, except to the extent of reduction of in the amount available for investment, which the Company could have otherwise deployed towards generating investment income.
The Buyback is not expected to impact growth opportunities for the Company. Buyback is expected to contribute to the overall enhancement of shareholder value and result in an increase in the return on equity of the Company.
The Buyback will not result in a change in control or otherwise affect the existing management structure of the Company.
Salient financial parameters consequent to the Buyback based on the latest audited standalone financial statements for the period ended on March 31, 2020 are as under:
| Parameter (based on Audited Condensed Financial Statements as at and for the period ended June 30, 2020 | Pre Buy-back | Post Buy-back (Assuming Full Acceptance) |
| Net worth (Rs in Lakhs) | 25,786.30 | 23,872.85 |
| Return on Net worth (%) | 3.99% | 4.31% |
| Earnings Per Share (Rs) | 8.12 | 8.72 |
| Book Value per Share (Rs) | 203.65 | 202.31 |
| P/E as per the latest audited standalone financial statements (BSE) | 29.32 | 27.31 |
| Total Debt / Equity Ratio | 0.03 | 0.04 |
Basis of Calculating Gujarat Apollo Industries Ltd (GAIL) Buyback Price
The Equity Shares of the Company are proposed to be bought back at a price of INR 222/- per Equity Share.
The Buyback Offer Price has been arrived at, after considering various factors such as the average closing prices of the Equity Shares of the Company on BSE Limited (“BSE”) and National Stock Exchange of India Limited (“NSE”) (BSE and NSE collectively referred to as “Stock Exchanges”) where the Equity Shares of the Company are listed, the net worth of the Company and the impact of the Buyback on the key financial ratios of the Company.
The Buyback Offer Price represents:
(a) Premium of 0.91% and 0.34% over the closing price of the Equity Share on BSE and NSE, respectively, as on the date of intimation to the Stock Exchanges of the date of the meeting of the Board of Directors (i.e., February 10, 2021) wherein the proposal of the Buyback was considered and approved.
(b) Premium of 6.65% and 6.61% over the volume weighted average market price of the Equity Shares on BSE and NSE, respectively, during the three months period preceding the date of intimation to the Stock Exchanges of the date of the meeting of the Board of Directors wherein proposal of the Buyback was considered and approved.
(c) Discount of 1.10% and 1.06% over the volume weighted average market price of the Equity Shares on BSE and NSE, respectively, during the two weeks period preceding the date of intimation to the Stock Exchanges of the date of the meeting of the Board of Directors wherein proposal of the Buyback was considered and approved.
(d) Premium of 9.01% over the book value per Equity Share of the Company as of March 31, 2020 on a standalone basis.
Know more about other Buybacks and their Registrar details
Source of Funds for the Buyback
The maximum amount required for the Buyback will not exceed Rs. 19,13,45,130 (Rupees nineteen crores thirteen lakhs forty five thousand one hundred and thirty only) excluding the Transaction Costs. The said amount constitutes 7.52% and 3.88% of the total issued and paid-up equity share capital and free reserves of the Company as per the audited, standalone and consolidated financial statements of the Company, respectively, for the financial year ended March 31, 2020.
This Buyback is not likely to cause any material impact on the earnings of the Company, except for the cost of financing the Buyback being a reduction in the treasury income that the Company could have otherwise earned on the funds deployed.
The funds for the implementation of the proposed Buyback will be sourced out of the free reserves of the Company (retained earnings) / internal accruals and/or such other source as may be permitted by the Buyback Regulations and/ or the Companies Act. The funds borrowed, if any, from banks and financial institutions will not be used for the Buyback. The Company shall transfer from its free reserves, a sum equal to the nominal value of the Equity Shares so bought back to the capital redemption reserve account and details of such transfer shall be disclosed in its subsequent audited financial statements.
Gujarat Apollo Industries Ltd (GAIL) – Manager to the Buyback
| Buyback Manager Details |
| PL CAPITAL MARKETS PRIVATE LIMITED 3rd Floor, Sadhana House, 570, P.B. Marg, Worli, Mumbai – 400 018 Tel.: +91 22 6632 2222; Fax: +91 22 6632 2229 Email: gujaratapollobuyback@plindia.com Website: www.plindia.com Contact person: Gunjan Jain/ Rohan Menon SEBI registration number: INM000011237 Validity period: Permanent |
Gujarat Apollo Industries Ltd (GAIL) – Registrar to the Buyback
| Registrar Details |
| LINK INTIME INDIA PRIVATE LIMITED C- 101, 1st floor, 247 Park, Lal Bahadur Shastri Marg, Vikhroli (West), Mumbai – 400 083 Tel: +91 22 4918 6200; Fax: +91 22 4918 6195 Email: gujaratapollo.buyback@linkintime.co.in Website: www.linkintime.co.in Contact person: Mr. Sumeet Deshpande SEBI registration Number: INR000004058 Validity period: Permanent |
Gujarat Apollo Industries Ltd (GAIL) Contact Details
| Company Contact Details |
| GUJARAT APOLLO INDUSTRIES LIMITED “Parishram”, 5-B, Rashmi Society, Near Mithakhali Six Roads, Navrangpura, Ahmedabad – 380009 Tel: +91 – 079-26444597;; Fax: +91 22 4918 6195; E-mail: cs@gapollo.net.co.in Website: www.apollo.co.in; Registrar: LINK INTIME INDIA PRIVATE LIMITED |
Gujarat Apollo Industries Ltd (GAIL) Buyback News
News 1 – Gujarat Apollo Industries Buyback PDF / Letter of Offer [Download]
News 2 – Gujarat Apollo Industries Ltd (GAIL) Ltd – Draft Letter of Offer [Download]
FAQs of Gujarat Apollo Industries Ltd (GAIL) Buyback
What is the Gujarat Apollo Buyback Period?
Gujarat Apollo Industries Ltd (GAIL) Buyback Period is briefly the time interval starting from the date of declaration of results of the postal ballot through remote e-voting i.e. THURSDAY, APRIL 8, 2021. The period basically ends on the date of payment of consideration to Eligible Shareholders who participated in the Buyback, i.e. MONDAY, APRIL 26, 2021.
What type of buyback is Gujarat Apollo Industries Buyback?
This company has chosen the route of Tender offer to repurchase the shares from the eligible shareholders. The tender offer route is one of the Two Routes generally chosen by the companies, i.e. Tender Offer and Open Market Through Stock Exchanges.
What is the Gujarat Apollo Industries Ltd Buyback Offer?
Gujarat Apollo Industries Ltd (GAIL) Buyback Offer refers to the number of shares the company plans to buy back from the eligible shareholders. Herein, the company proposes to buy back 8,61,915 Fully paid up Equity shares, adhering to the buyback price.
When Gujarat Apollo Industries Ltd Buyback offer will start?
As per the released schedule, the Gujarat Apollo Industries Ltd (GAIL) Buyback offer will start on April 8, 2021. This is the opening date from when the Buyback will open for all shareholders. You will find the updated records of Gujarat Apollo Industries Ltd (GAIL) Buyback at all times, we ensure you have access to the right data.
When is the closing date of Gujarat Apollo Industries Buyback?
For ease in access to the dates and related aspects, we have segregated the closing date of Gujarat Apollo Industries Ltd (GAIL) Buyback. The buyback would close on April 26, 2021. The closing date is the last day for which the Buyback shall be open for the shareholders.
What is the offer price for Gujarat Apollo Industries Buyback?
The amount at which the shares are taken back by the company is referred to as Gujarat Apollo Industries Ltd (GAIL) Buyback offer price. Herein, each and every fully Paid-up equity share is priced at Rs.222, the price paid to each eligible shareholder.
What is the record date for Gujarat Apollo Industries Buyback offer?
The record date of Gujarat Apollo Industries Ltd (GAIL) Buyback is February 26, 2021. The record date is generally the day when eligible shareholders are declared. Furthermore, complying with Buyback regulations, the letter of offer and Tender form is sent to the eligible shareholders.
What is the issue size of Gujarat Apollo Industries Buyback?
Gujarat Apollo Industries Ltd (GAIL) Buyback Size is Rs.19,13,45,130 and is the total worth of Equity Shares the company plans on taking back. This amount is obtained from the total number of equity shares, multiplied by the Buyback price.
What is the necessity for Gujarat Apollo Industries Ltd Buyback?
The Buyback, which is being implemented through the tender offer route as prescribed under the Buyback Regulations, would involve allocation of number of shares as per the entitlement of the shareholders or 15% of the number of Equity Shares to be bought back, whichever is higher, reserved for the small shareholders. The Company believes that this reservation for small shareholders would benefit a large number of public shareholders, who would get classified as “small shareholder” as per Regulation 2(i)(n) of the Buyback Regulations.
Who is the Registrar to Gujarat Apollo Industries Ltd Buyback offer?
The designated registrar of Gujarat Apollo Industries Ltd (GAIL) Buyback is LINK INTIME INDIA PRIVATE LIMITED. You can find all the details related to the registrar in this report and contact them if you have any queries. You can check the details of the registrar, contact person, email address, and more.
Who is the Manager of the Gujarat Apollo Buyback offer?
Manager to the Gujarat Apollo Industries Ltd (GAIL) Buyback is PL CAPITAL MARKETS PRIVATE LIMITED. The manager basically ensures that the company following up buyback strictly adheres to and in conformity with the provisions of the Companies Act and Buyback Regulations.
How to check Gujarat Apollo buyback acceptance ratio?
The acceptance ratio is basically the proportion of shares the company accepts, to the final number of shares tendered. It refers to how much the company would buy back and how profitable it would be for you. You can also check how much profit (%) you will earn. Click on the link and check on the website page.
Where to find Gujarat Apollo Buyback Dates / Events?
You can check the table for the list of events, as designed for the buyback. This article is your one and final destination to check all the Gujarat Apollo Industries Ltd (GAIL) Buyback information. You will encounter a section exclusively set to record the dates, in this article, referred to as Gujarat Apollo Industries Ltd (GAIL) Buyback Dates.
What can be the Impact of Gujarat Apollo Buyback on the Company?
The Buyback will not in any manner impair the ability of the Company to pursue growth opportunities or meet its cash requirements for business operations. Buyback is expected to contribute to the overall enhancement of shareholder value and result in an increase in the return on equity of the Company. This Buyback is being undertaken, inter alia, for helping the Company to return surplus cash to the Eligible Shareholders broadly in proportion to their shareholding.
Where to find complete details on Gujarat Apollo Buyback?
As mentioned already, this page would give you every single detail about this buyback. Also, you find the link to download the Draft / Letter of Offer. Each and every section is vividly and carefully placed, giving you insights into all major as well as minor aspects of the ratio. The article is also inclusive of all the links.
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