Buyback or share repurchase is a strategic move where a company repurchases its shares from shareholders. This corporate action is initiated with the aim of acquiring shares at a price higher than the current market value. There are two methods companies may opt for: tender offer and open-market offer.<\/p>\n\n\n\n
Tender Offer:<\/strong><\/p>\n\n\n\n In a tender offer, the company extends an invitation to shareholders to sell their shares at a specific price. The credited amount is transferred directly to the shareholder’s primary bank account.<\/p>\n\n\n\n Open-Market Offer:<\/strong><\/p>\n\n\n\n Alternatively, a company can actively repurchase shares from sellers on the exchange during a specified buyback period. The amount is credited to the shareholder’s trading account. You can check the buyback period on the SEBI (WEB<\/a>) website. <\/p>\n\n\n\n In a buyback offer, whether through a tender offer or open-market offer, the company bears all taxes associated with the transaction. <\/p>\n\n\n\n <\/p>","protected":false},"excerpt":{"rendered":" What is a buyback or share? Buyback or share repurchase is a strategic move where a company repurchases its shares from shareholders. This corporate action is initiated with the aim of acquiring shares at a price higher than the current market value. There are two methods companies may opt for: tender offer and open-market offer. […]<\/p>","protected":false},"author":1,"featured_media":0,"parent":12575,"menu_order":248,"comment_status":"closed","ping_status":"closed","template":"","doc_tag":[],"acf":[],"_links":{"self":[{"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/docs\/12577"}],"collection":[{"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/docs"}],"about":[{"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/types\/docs"}],"author":[{"embeddable":true,"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/comments?post=12577"}],"version-history":[{"count":0,"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/docs\/12577\/revisions"}],"up":[{"embeddable":true,"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/docs\/12575"}],"wp:attachment":[{"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/media?parent=12577"}],"wp:term":[{"taxonomy":"doc_tag","embeddable":true,"href":"https:\/\/faq.tradejini.com\/wp-json\/wp\/v2\/doc_tag?post=12577"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}