In a filing on the Bombay Stock Exchange, Route Mobile informed that its board had approved Rs 1.20 billion spending to buyback share from shareholders barring promoter, promoter group, and persons who are in control of the company.
As per the regulatory filing, the board approved the buyback by the company of its fully paid-up equity shares having face value of Rs 10 each equity shares at a price not exceeding Rs 1,700. Meanwhile, at maximum buyback price of Rs 1,700, and maximum buyback size of Rs 1.20 billion, the indicative maximum number of equity shares bought back would be 705,882 which is 1.12 per cent of the total number of paid-up equity shares of the company.
Besides, the company also declared that the buyback shall not exceed the maximum buyback size, which represents 9.95 per cent and 7.31 per cent of the aggregate of the total paid-up equity share capital and free reserves of the company based on the latest audited standalone and consolidated financial statements of the company as on March 31, 2022, respectively.
In addition, the company noted that it would utilise at least 50 per cent of the maximum buyback size Rs 600 million (minimum buyback size) towards the buyback and accordingly, will purchase an indicative minimum number of 352,942 equity shares. The board also approved the formation of a buyback committee in this regard. Additionally, the board approved the appointment of Rathindra Das, group head legal, company secretary and compliance officer as the compliance officer for the buyback.
