Jagran Prakashan mulls share buyback worth up to Rs 118 crore

The company proposes to buyback equity shares of Rs 2 each at a maximum buyback price of Rs 60

e4m by exchange4media Staff
Updated: Mar 5, 2021 8:36 AM
jagran

Print media company Jagran Prakashan has said its board has approved buying back shares worth up to Rs 118 crore. The company publishes Hindi daily Dainik Jagran besides Nai Dunia, Mid-Day, Punjabi Jagran, and Inquilab.

"The board of directors of the company... approved the buyback of the company's fully paid-up equity shares of the face value of Rs 2 each for an aggregate amount not exceeding Rs 118 crore...  and at a price not exceeding Rs 60 per equity share payable in cash, from its shareholders/ beneficial owners (other than those who are promoters, members of the promoter group or persons in control), from the open market through stock exchange mechanism," Jagran said in a regulatory filing.

The indicative number of shares proposed to be bought back by the company is 1,96,66,666 or 6.99% of the total stake. The company will release the public announcement setting out the process, timelines, and other statutory details of the buyback in due course.

The company proposes to buyback equity shares of Rs 2 each at a maximum buyback price of Rs 60.

Jagran also said that it will utilise at least 50% of the Maximum Buyback Size towards the Buyback and the company will accordingly purchase an indicative minimum of 98,33,333 Equity Shares based on the Minimum Buyback Size and the Maximum Buyback Price.

Jagran Prakashan had reported consolidated operating revenue at Rs 402.61 crore for the quarter ended 31st December 2020 as against Rs 552.98 crore in the same quarter of the previous fiscal amid a drop in ad and circulation revenue.

Advertisement revenue declined to Rs 292.67 crore as against Rs 403.29 crore. Similarly, circulation revenue dropped to Rs 84.27 crore from Rs 107.47 crore. Other operating revenue stood at Rs 25.66 crore as against Rs 42.22 crore. Print digital revenue came in at Rs 14.29 crore, up by 21.8% from Rs 11.73 crore.

The company posted an operating profit at Rs 129.32 crore as against Rs 147.13 crore. Net profit stood at Rs 77.08 crore as against Rs 80.48 crore.

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