Tata Sons will participate in the second round of repurchase of TCS shares

Tata Consultancy Services has informed that its promoter, Tata Sons, will participate in the proposed share repurchase initiative, in an exchange deposit.

"We wish to inform you that the developer and the promoter group of the company have communicated the company in a statement.

The software giant had previously announced its intention to buy back up to 76 million dollars. shares at Rs 2,100 per share for an amount not exceeding Rs 160 billion.Tata Sons had added more than Rs 102.78 billion to its coffers the previous redemption of FY18.

ALSO READ: The TCS Board of Directors approves the proposal to repurchase up to 76 million shares worth Rs 160 billion

time that major software offers to buy back its shares after buying 56.1 million shares in April 2017 for Rs 160 billion to Rs 2,850 per share.The repurchase had a positive response with a subscription of 221.39%, or offers for 124 million euros. Shares against 56.1 million shares offered [19659002] The current redemption does not include the redemption fee. In addition to the repurchase of shares, TCS offered its investors free shares at a rate of 1: 1 and a total dividend of 50 rupees per share for FY18, a record amount of 5,000 per cent. per year

. peers like Cognizant, Infosys and HCL Technologies, in the midst of the slowdown in the sector. Infosys came out with such an offer last year to buy Rs 130 billion shares. Wipro had also bought 110 billion rupees last year

ALSO READ: The TCS board of directors approves a stock repurchase plan of 160 billion rupees

TCS management has advised that the redemption will be completed in the second quarter.

Analysts have already hinted that the company's cash reserves may not be affected because the company already has about 400 billion rupees of reserves, while free cash flow should be located in the range of Rs 240 billion in the current fiscal year against the stock offer of Rs 160 billion for TCS.

Earlier this year, Tata Sons had also sold TCS shares valued at nearly Rs 90 billion (1.63% stake). The promoters hold approximately 72% of the capital of TCS.