SQS India BFSI / Expleo Solutions Buyback Review, Offer Details, Price, Dates, Size & more
Last Updated Date: Nov 17, 2022In this article, we will discuss about SQS India BFSI / Expleo Solutions Limited Buyback offer, buyback price, buyback size, SQS India BFSI / Expleo Solutions 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 – SQS India BFSI / Expleo Solutions Share Price
SQS India BFSI / Expleo Solutions Limited Buyback Details
| Buyback Type | Tender Offer |
| Buyback Opening Date | May 30, 2019 |
| Buyback Closing Date | June 13, 2019 |
| Buyback Offer Amount | Rs. 25,34,92,800/- |
| Buyback No. of Shares | 4,60,896 |
| Face Value | Rs. 10 |
| Date of Buyback Approval | January 31, 2019 |
| Date of Public Announcement | March 29, 2019 |
| Buy Back Price | Rs. 550/- |
| Buy Back Premium | 30.5% |
| Date of Board Meeting | January 31, 2019 |
SQS India BFSI / Expleo Solutions Buyback Opening and Closing Date
The starting and closing date of this buyback is May 30, 2019 to June 13, 2019.
SQS India BFSI / Expleo Solutions Buyback Cash Offer
The Cash Offer to Buy-back up to 4,60,896 fully paid-up equity shares of the Company of face value of Rs. 10 each, representing 4.30% of the total number of equity shares.
SQS India BFSI / Expleo Solutions Buyback Record Date
The decided record date is Friday, April 12, 2019.
SQS India BFSI / Expleo Solutions Buyback Price
At a price of Rs. 550(Rupees Five Hundred Fifty Only) per Equity Share.
SQS India BFSI / Expleo Solutions Buyback Size
At a buyback price of Rs. 550/- payable in cash for an aggregate consideration not exceeding Rs. 25,34,92,800/- (Twenty-Five Crore Thirty-Four Lakhs Ninety-Two Thousand Eight Hundred Only).
SQS India BFSI / Expleo Solutions Buyback Acceptance Query
You can check for Buyback Acceptance query here. Just click on the given link and it will redirect you to buyback acceptance query page.
SQS India BFSI / Expleo Solutions Buyback Acceptance Ratio
Find profit & profit percentage based on various acceptance rate, The profit is calculated based on 1000 shares.
| Acceptance Ratio | Total Shares Accepted | Buyback Price | Buyback Amount | Profit (Rs) | Profit% |
| 20% | 200 | 550 | 110000 | 21400 | 4.83% |
| 40% | 400 | 550 | 220000 | 42800 | 9.66% |
| 60% | 600 | 550 | 330000 | 64200 | 14.49% |
| 80% | 800 | 550 | 440000 | 85600 | 19.32% |
| 100% | 1000 | 550 | 550000 | 107000 | 24.15% |
Profit is calculated from 30th May 2019 share price i.e. Rs.443 per share of SQS India BFSI / Expleo Solutions Limited.
According to the above table, if a share owner applies for 1000 shares of SQS India BFSI / Expleo Solutions limited & gets 20% acceptance from the company and the owner with 1000 shares will sell 200 shares @ Rs.550 per share & receive Rs.21400 as profit amount & 4.83% 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.550 & receive a profit of Rs.64200 @ 14.49% profit percentage.
SQS India BFSI / Expleo Solutions Limited Buyback Overview
The Company is engaged in the business of information technology services, more specifically independent software testing (validation and verification) services, exclusively to the banking, financial services, insurance and financial technology industries worldwide.
Check other Buybacks with previous, upcoming and active status
Company Finances – SQS India BFSI / Expleo Solutions Limited
The salient features of the financial information of the Company as extracted from the unaudited limited reviewed standalone and consolidated financial results of the Company for nine months ended December 31, 2018.
From the audited standalone and consolidated financial statements for last financial year ended March 31, 2018, prepared under Ind AS and from the audited standalone and consolidated financial statements for two financial years ended March 31, 2017 and March 31, 2016, prepared under erstwhile IGAAP are set out below:
[In Rs. Millions]
| Standalone Statement | ||||
| Particulars | Nine months period ended December 31, 2018 |
As at and for the year ended | ||
| FY 2018 | FY 2017 | FY 2016 | ||
| (Unaudited) | (Audited) | (Audited) | (Audited) | |
| Total Income | 2,212.74 | 2,844.91 | 2,609.27 | 2,692.54 |
| Total Expenses (Incl. Interest and Depreciation) |
1,844.36 | 2,415.18 | 2,263.78 | 2,193.83 |
| Interest | 0.31 | 2.87 | 1.96 | 1,090.28 |
| Depreciation | 40.88 | 55.36 | 51.77 | 40.30 |
| Profit before tax | 368.38 | 429.73 | 345.50 | 498.71 |
| Provision for tax | 134.43 | 149.66 | 121.63 | 180.07 |
| Profit after tax | 233.95 | 280.07 | 223.87 | 318.65 |
| Equity Share Capital | 107.13 | 107.10 | 106.80 | 106.39 |
| Reserves & Surplus/Other Equity | 881.34 | 906.87 | 932.12 | 1,020.57 |
| Total Equity/ Networth | 988.47 | 1,013.97 | 1,038.92 | 1,126.95 |
| Total debt | – | – | – | – |
| Consolidated Statement | ||||
| Particulars | Nine months period ended December 31, 2018 |
As at and for the year ended | ||
| FY 2018 | FY 2017 | FY 2016 | ||
| (Unaudited) | (Audited) | (Audited) | (Audited) | |
| Total Income | 2,217.03 | 2,844.99 | 2,610.10 | 2,706.32 |
| Total Expenses (Incl. Interest and Depreciation) |
1,807.70 | 2,365.85 | 2,239.83 | 2,144.29 |
| Interest | 0.31 | 2.87 | 1.96 | 425.34 |
| Depreciation | 41.05 | 55.50 | 51.96 | 40.50 |
| Profit before tax | 409.32 | 479.14 | 370.27 | 562.04 |
| Provision for tax | 140.67 | 159.38 | 132.14 | 193.04 |
| Profit after tax | 268.65 | 319.75 | 238.13 | 368.99 |
| Equity Share Capital | 107.13 | 107.10 | 106.80 | 106.39 |
| Reserves & Surplus/Other Equity | 1,188.02 | 1,178.85 | 1,164.43 | 1,238.60 |
| Total Equity/ Networth | 1,295.16 | 1,285.96 | 1,271.23 | 1,344.99 |
| Total debt | – | – | – | – |
SQS India BFSI / Expleo Solutions Limited Buyback Dates
| Date of Board Meeting approving the Buyback | January 31, 2019 |
| Date of Public Announcement for Buyback | March 29, 2019 |
| Date of publication of Public Announcement for Buyback | April 1, 2019 |
| Record Date for determining the Buyback Entitlement and the names of Eligible Shareholders | April 12, 2019 |
| Buyback Opening date | May 30, 2019 |
| Buyback Closing date | June 13, 2019 |
| Last Date of verification of Tender Forms by the Registrar | June 17, 2019 |
| Last date of intimation regarding acceptance / non-acceptance of Tendered Equity Shares to the BSE Limited by the Registrar |
June 21, 2019 |
| Last date of Settlement of Bids on the BSE Limited | June 24, 2019 |
| Last date of return of unaccepted Equity Shares by BSE Limited | June 24, 2019 |
| Last date of Extinguishment of Equity Shares | July 1, 2019 |
Details of Public Announcement
In accordance with Regulation 7(i) of the Buyback Regulations, the Company has made the Public Announcement
dated March 29, 2019, which was published in the following newspapers on April 1, 2019:
| Publication | Language | Edition |
| Financial Express | English | All editions |
| Jansatta | Hindi | All editions |
| Makkal Kural | Tamil | Chennai |
Find Latest Buybacks Offer, Performance and Financial details
Necessity of SQS India BFSI / Expleo Solutions Limited Buyback
Buyback is a more efficient form of returning surplus cash to the members holding equity shares of the Company for the
following reasons:
- The Buyback will help the Company to return surplus cash to its members holding equity shares broadly in proportion to their shareholding, thereby, enhancing the overall return to members;
- The Buyback, which is being implemented through the tender offer route as prescribed under the Buyback Regulations, would involve allocation of higher of number of shares as per their entitlement or 15% of the number of shares to be bought back, 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”;
- The Buyback gives an option to the members holding equity shares of the Company, who can choose to participate and get cash in lieu of equity shares to be accepted under the Buyback offer or they may choose not to participate and enjoy a resultant increase in their percentage shareholding, post the Buyback offer, without additional investment;
- The Buyback may help in improving return on equity, by reducing the equity base, thereby leading to long term increase in shareholders’ value; and
- The Buyback will help to optimize the capital structure.
Impact of SQS India BFSI / Expleo Solutions Limited Buyback on the Company
The Buy-Back is not likely to cause any material impact on the profitability or earnings of the Company except to the extent of reduction in the amount available for investment, which the Company could have otherwise deployed towards generating investment income.
Assuming response to the Buyback is to the extent of 100% (full acceptance) from all the Eligible Shareholders up to their entitlement, the aggregate shareholding of the Promoter after the completion of the Buyback shall increase to 56.17% of the post-Buyback total paid-up Equity Share capital of the Company from 53.75% of the pre-Buyback total paid-up Equity Share capital of the Company, and the aggregate public shareholding of the Company shall decrease to 43.83% of the post-Buyback total paid-up Equity Share capital of the Company from 46.25% of the pre-Buyback total paid-up Equity Share capital of the Company.
The ratio of the aggregate of secured and unsecured debts owed by the Company will not be more than twice the paid-up capital and free reserves after the Buyback, in accordance with the Act, even if the response to the Buyback is to the extent of 100%.
Salient financial parameters pursuant to the Buyback based on the audited standalone and consolidated financial statements and the unaudited limited review standalone and consolidated financial results of the Company are set out below:
| Parameter (based on audited financial statements for year ended March 31, 2018) |
Standalone | Consolidated | ||
| Pre Buyback | Post Buyback | Pre Buyback | Post Buyback | |
| Net worth (Rs in million) | 1,013.97 | 751.58 | 1,285.96 | 1,023.56 |
| Return on net worth (%) | 28% | 36% | 25% | 30% |
| Earnings Per Equity Share (Rs) | 26.19 | 26.46 | 29.90 | 30.33 |
| Book Value Per Equity Share (Rs) | 94.67 | 73.33 | 120.07 | 99.86 |
| Price / Earnings ratio (times) | 18.36 | 18.18 | 16.08 | 15.86 |
| Total debt equity ratio (times) | – | – | – | – |
Basis of Calculating SQS India BFSI / Expleo Solutions Buyback Price
The Buyback Offer Price has been arrived at after considering various factors such as the average closing price of the Equity Shares on the 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.
More on SQS India BFSI / Expleo Solutions Buyback Price Calculation
The Buyback Offer Price represents:
- A premium of 30.5% and 29.7% over the closing price of the Equity Share on BSE and NSE, respectively, as on January 28, 2019, being the date on which the Company intimated the Stock Exchanges of the date of the meeting of the Board wherein proposal of the Buyback was considered; and
- A premium of 22.19% and 21.95% to the volume weighted average market price of the Equity Share on BSE and NSE, respectively for a period of one month preceding January 28, 2019, being the date on which the Company intimated the Stock Exchanges of the date of the meeting of the Board wherein proposal of the Buyback was considered.
Know more about other Buybacks and their Registrar details
Source of Funds for the Buyback
The funds for the implementation of the Buyback will be sourced out of the free reserves of the Company and/or such other source as may be permitted by the Buyback Regulations or the Act.
The Company shall transfer from its free reserves a sum equal to the nominal value of the Equity Shares bought back through the Buyback to the capital redemption reserve account and the details of such transfer shall be disclosed in its subsequent audited balance sheet.
SQS India BFSI / Expleo Solutions Limited – Manager to the Buyback
| Buyback Manager |
| ICICI Securities Limited ICICI Centre, H.T. Parekh Marg, Churchgate, Mumbai – 400 020, Maharashtra, India Tel: +91 22 2288 2460 Fax: +91 22 2282 6580 Contact Person: Mr. Shekher Asnani / Mr. Rishi Tiwari E-mail: sqsindiabfsi.buyback@icicisecurities.com Website: www.icicisecurities.com SEBI Registration Number: INM000011179 Validity period: Permanent Corporate Identity Number: L67120MH1995PLC086241 |
SQS India BFSI / Expleo Solutions Limited – Registrar to the Buyback
|
Registrar
|
|
Cameo Corporate Services Limited
‘Subramanian Building’, No.1, Club House Road, Chennai – 600 002, Tamil Nadu, India Tel: +91 44 4002 0700 / 0710 / 2846 0390 Fax: +91 44 2846 0129 Contact Person: Ms. Sreepriya K E-mail: priya@cameoindia.com Website: www.cameoindia.com SEBI Registration Number: INR000003753 Validity Period: Permanent Corporate Identity Number: U67120TN1998PLC041613 |
SQS India BFSI / Expleo Solutions Limited Contact Details
| Company Contact Details |
| SQS India BFSI / Expleo Solutions LIMITED (formerly known as SQS India BFSI Limited) Corporate Identity Number (CIN): L64202TN1998PLC066604 Registered Office: 6A, Sixth Floor, Prince Infocity II, No. 283/3 & 283/4, Rajiv Gandhi Salai (OMR), Kandanchavadi, Chennai – 600 096, Tamil Nadu, India Tel: +91 44 4392 3200; Fax: +91 44 4392 3258; E-mail: investor.sqsbfsi@sqs.com; Website: www.sqs-bfsi.com; Contact Person: Mr. S. Sampath Kumar, Company Secretary and Compliance Officer |
SQS India BFSI / Expleo Solutions Limited Buyback News
News 1 – Buyback PDF / Letter of Offer [Download]
News 2 – SQS India BFSI / Expleo Solutions Ltd – Public Announcement
FAQs of SQS India / Expleo Solutions Buyback
What is the SQS India Buyback Period?
SQS India Buyback Period is briefly the time interval starting from date of declaration of results of the postal ballot through remote e-voting i.e. March 29, 2019. The period basically ends on the date of payment of consideration to Eligible Shareholders who participated in the Buyback, i.e. June 24, 2019.
What type of buyback is Expleo Solutions Buyback?
This company has chosen the route of Tender offer to repurchase the shares from the eligible shareholders. 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 SQS India Buyback Offer?
SQS India Buyback Offer refers to the number of shares the company plans to buy back from the eligible shareholders. Herein, the company proposes to buyback 4,60,896 Fully paid up Equity shares, adhering to the buyback price.
When Expleo Solutions Buyback offer will start?
As per the released schedule, the SQS India Buyback offer will start on May 30, 2019. This is the opening date from when the Buyback will open for all shareholders. You will find the updated records of SQS India Buyback at all times, we ensure you have access to the right data.
When is the closing date of Expleo Solutions Buyback?
For the ease in access to the dates and related aspects, we have segregated the closing date of SQS India Buyback. The buyback would stay open from May 30, 2019, and would close on June 13, 2019. The closing date is the last day for which the Buyback shall be open for the shareholders.
What is the offer price for SQS India Buyback?
The amount at which the shares are taken back by the company is referred to as SQS India Buyback offer price. Herein, each and every fully Paid-up equity share is priced at Rs.550, the price paid to each eligible shareholder.
What is the record date for Expleo Solutions Buyback offer?
Record date of SQS India Buyback is April 12, 2019. Record date is generally the day when eligible shareholders are declared. Furthermore, complying with Buyback regulations, letter of offer and Tender form is sent to the eligible shareholders.
What is the issue size of SQS India Buyback?
SQS India Buyback Size is Rs. 25,34,92,800 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 Expleo Solutions Buyback?
Objective of the SQS India Buyback is to enhance the total return made by equity shareholders. The Buyback may help in improving return on equity, by reducing the equity base, thereby leading to long term increase in shareholders’ value; and The Buyback will help to optimize the capital structure. Through buyback, company will distribute the surplus cash to shareholders as per their holding proportion.
Who is the Registrar to SQS India Buyback offer?
Designated registrar of SQS India Buyback is Cameo Corporate Services 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 to the Expleo Solutions Buyback offer?
Manager to the SQS India Buyback is ICICI Securities Limited. 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 SQS India buyback acceptance ratio?
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 buyback 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 Expleo Solutions 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 SQS India Buyback information. You will encounter a section exclusively set to record the dates, in this article, referred to as SQS India Buyback Dates.
What can be the Impact of SQS India Buyback on the Company?
The Buy-Back is not likely to cause any material impact on the profitability or earnings of the Company except to the extent of reduction in the amount available for investment, which the Company could have otherwise deployed towards generating investment income. The ratio of the aggregate of secured and unsecured debts owed by the Company will not be more than twice the paid-up capital and free reserves after the Buyback, in accordance with the Act, even if the response to the Buyback is to the extent of 100%.
Where to find complete details on Expleo Solutions Buyback?
As mentioned already, this page would give you every single detail about this buyback. Also, you find the link to download 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.
Market Guide
Featured Topics