In this article, we will discuss the Tulive Developers Buyback offer, buyback price, buyback size, record date, company financial, buyback necessity and its impact on the company.
Tulive Developers Buyback Details
|Buyback Type||Tender Offer|
|Buyback Opening Date||May 22, 2019|
|Buyback Closing Date||June 04, 2019|
|Buyback Offer Amount||Rs. 16,80,00,000/-|
|Buyback No. of Shares||4,80,000|
|Face Value||Rs. 10/-|
|Date of Buyback Approval||February 22, 2019|
|Date of Public Announcement|
April 08, 2019
|Buy Back Price||Rs. 350/-|
|Buy Back Premium||64.64%|
|Date of Board Meeting||February 22, 2019|
|Record Date||April 22, 2019|
Tulive Developers Buyback Opening and Closing Date
The starting and closing dates of this buyback are from May 22, 2019, to June 04, 2019.
Tulive Developers Buyback Cash Offer
The Cash Offer to Buy-back up to 4,80,000 (Four Lakh Eighty Thousand) fully paid-up equity shares of the Company of face value of Rs. 10 each.
Tulive Developers Buyback Record Date
The decided record date is Monday, April 22, 2019.
Tulive Developers Buyback Price
At a price of Rs. 350/- (Rupees Three Hundred Fifty only) per Equity Share.
Tulive Developers Buyback Size
The Buyback is for an aggregate amount not exceeding Rs. 16,80,00,000/- (Rupees Sixteen Crores Eighty Lakhs only)
Tulive Developers 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||Profit%|
Profit is calculated from 12th May 2019 share price i.e. Rs.54.15 per share of Tulive Developers Limited.
According to the above table, if a share owner applies for 1000 shares of Tulive Developers Limited & gets 20% acceptance from the company, the owner of this 1000 shares will sell 200 shares @ Rs.56 per share & receive Rs.370 as profit amount & 0.68% 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.56 & receive a profit of Rs.1,110 @ 2.05% profit percentage.
Tulive Developers Buyback Overview
The Company is engaged in Real Estate business as the conglomerate from the house of G K Shetty. The Equity Shares of the Company are currently listed on BSE only. Script Code is 505285.
The total income of the Company for the financial years ended March 31, 2016-2018, was, Rs. 4,88,43,001.39, Rs. 9,41,25,890.84 and Rs. 1,71,49,616.65 respectively. Net profit/(loss) after Tax of the Company for the financial years ended March 31, 2016-2018, was Rs. 4,00,04,692.34, Rs. 91637506.24 and Rs. 1,16,21,606.81 respectively.
Company Finances – Tulive Developers Ltd.
The salient standalone financial information of the Company, as extracted from the audited results for the last three financial years and limited review financials for nine months period ended December 31, 2018, is detailed below:
(Amount in Rupees)
|Extra Ordinary item||–||4550528||–||–|
|Profit before tax||4351121.3||10469576.81||91425938.24||40004692.34|
|Provision for Tax||–||111887||–||–|
|Excess provision of taxation for earlier year written back||–||–||2115658||–|
|Profit after tax||4351121.3||11621606.81||91637506.24||40004692.34|
|Equity Share Capital||26343750||26343750||34843750||34843750|
|$ Reserves and Surplus||655120885.4||650769764.1||851648157.3||760010651.1|
|Total debt (excluding working capital loans)||–||–||–||–|
|$ excluding revaluation reserves and miscellaneous expenditure to the extent not written off|
Important Dates – Tulive Developers Ltd.
|Date of the Board meeting held to approve the proposal for Buy-back of Equity Shares||Friday, February 22, 2019|
|Date of publication of Public Announcement for the Buy-back||Tuesday, April 09, 2019|
|Record Date for determining the Buy-back Entitlement and the Eligible Shareholders||Monday, April 22, 2019|
|Buy-back opens on / Buy-back Opening Date||Wednesday, May 22, 2019|
|Buy-back closes on / Buy-back Closing Date||Tuesday, June 04, 2019|
|Last date of verification by Registrar to Buy-back||Wednesday, June 12, 2019|
|Last date of intimation to the Stock Exchange regarding acceptance or non-acceptance of tendered Equity Shares by the Registrar and Manager to the Buy-back||Thursday, June 13, 2019|
|Last date of settlement of bids on the Stock Exchange||Friday, June 14, 2019|
|Last date of return of unaccepted demat shares by Stock Exchange to Seller Member / Broker||Friday, June 14, 2019|
|Last date of extinguishment of Equity Shares bought back||Friday, June 21, 2019|
Details of Public Announcement
As per Regulation 7(i) of the SEBI Buyback Regulations, the Company has made a Public Announcement dated April 08, 2019 for the Buyback of Equity Shares in Financial Express (English newspaper), Jansatta (Hindi newspaper) and Mumbai Lakshdeep (Marathi newspaper) published on April 09, 2019, within two working days from the date of declaration of postal ballot results, on April 05, 2019.
Necessity of Buyback
The Board of Directors of the Company is of the view that the proposed Buyback will help the Company to achieve the following objectives:
- Optimize returns to shareholders; and
- Enhance overall shareholders value.
Accordingly, the proposed objectives will be achieved by returning part of surplus cash back to Shareholders through the Buyback process. This may lead to a reduction in outstanding Shares, improvement in Earnings per Share and enhanced return on invested capital.
Further, 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.
Impact of Buyback on the Company
The Buyback is not likely to cause any material impact on the profitability/earnings of the Company. Assuming there is a full response to the Buyback, the funds deployed by the Company towards the Buyback would be Rs. 16,80,00,000 (Rupees Sixteen Crores Eighty Lakhs only).
The Company confirms that the debt-equity ratio post Buyback will be compliant with the permissible limit of 2:1 prescribed by the Act, even if the response to the Buyback is to the extent of 100% (assuming full acceptance in the Buyback Offer).
Salient financial parameters consequent to the Buyback based on the latest standalone audited results as on March 31, 2018, are as under:
|Return on Networth (%)||1.72||2.28|
|Earnings per Share (Rs.)||0.62||5.39|
|Book Value per Share (Rs.)||257.03||236.32|
|P / E as per the latest audited financial results||284.68||30.68|
|Total Debt / Equity Ratio||0||0|
Basis of Calculating Buyback Price
The Buyback Price of Rs. 350 has been arrived at after considering various factors, such as:
- Volume weighted average price of the equity shares of the Company on BSE (where the equity shares of the Company are listed) for a period of one month and six months preceding the date of notice of board meeting in which the proposal for Buyback was considered, i.e. February 19, 2019, (“Date of Notice of Buyback”),
- Closing price of the last trading day preceding the Date of Notice of Buyback,
- Book value of the Company and the possible impact of the buyback on the Earnings Per Share (“EPS”) and
- Financial ratios of the Company and other relevant considerations.
More on Tulive Developers Buyback Price Calculation
The Buyback Price per Equity Share represents a premium of 64.64% over the volume weighted average price of the Company’s Equity Shares on BSE for the six months and a premium of 46.04% over the average closing price of the Company’s Equity Shares on BSE for the one month preceding the Date of Notice of Buyback.
The Equity Shares of the Company did not trade on the Date of Notice of Buyback. The closing price of the Equity Shares of the Company on the date of the meeting of the Board of Directors approving the Buyback, being February 22, 2019 (“Date of Board Meeting”) was Rs. 242.
Source of Funds for the Buyback
The Company has confirmed that the funds for the Buyback will be made available from the current surplus and/or cash balances and/or internal accruals of the Company.
The Company does not propose raising debt for the Buyback. However, the Company may continue to borrow funds in the ordinary course of its business.
Tulive Developers Ltd. – Manager to the Buyback
|Saffron Capital Advisors Private Limited|
605, Sixth Floor, Centre Point, Andheri-Kurla Road,
J. B. Nagar, Andheri (East), Mumbai – 400 059
Tel No.: +91 22 4082 0914;
Fax No.: +91 22 4082 0999;
E-mail: [email protected];
Investor grievance Id:
SEBI Registration Number: INM000011211;
Contact Person: Mr. Amit Wagle / Ms. Shikha Jain
Tulive Developers Ltd. – Registrar to the Buyback
|Computech Sharecap Limited|
(Corporate Identification Number: U67120MH1995PLC095302)
No. 147, Mahatma Gandhi Road, 3rd Floor, Opp. Jehangir Art Gallery,
Fort, Mumbai – 400023
Tel No.: +91 22- 22635000-01
Fax No.: +91 22 – 22635005
Email: [email protected]
SEBI Registration Number: INR000003647
Contact Person: Mrs. G K Dadyburjor
Tulive Developers Ltd. Contact Details
|Company Contact Details|
|Tulive Developers Ltd.|
(Corporate Identification Number: L99999MH1962PLC012549)
Registered Office: 21/22, Loha Bhavan, P. D. Mello Road, Mumbai 400009;
Corporate Office: No. 5, 1st Street, Subbarao Avenue, Chennai – 600 006
Tel. No.: 044-28230222; Email: [email protected]; Website: www.tulivedevelopers.com;
Contact Person: Mr. Sumit Mundhra, Company Secretary and Compliance Officer.
Tulive Developers Buyback News
News 1 – BUYBACK PDF / Letter of Offer [Download]
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