Transport Corp announces key details for Rs 150 crore share buyback plan

Transport Corporation of India will buy back shares worth up to Rs 150 crore through the tender offer route, and has fixed October 9, 2026 as the record date for determining eligible shareholders. Under the buyback plan, TCI will purchase up to 15.63 lakh fully paid-up equity shares with a face value of Rs 2 each at Rs 960 per share.


The total buyback amount will not exceed Rs 150 crore, excluding taxes, brokerage, filing fees and other transaction-related expenses, according to the company’s exchange filing.


The proposed buyback represents up to 2.03% of TCI’s paid-up equity share capital as of March 31, 2026. The buyback size equals 6.76% of the company’s standalone paid-up equity share capital and free reserves, and 6.15% on a consolidated basis.

The offer will be made on a proportionate basis to eligible shareholders through the tender offer route. Shareholders holding TCI shares as of the record date will be eligible to participate, except the promoters and promoter group, who informed the company they will not tender shares in the buyback.

The company said 15% of the shares proposed to be bought back, or the entitlement based on small shareholders’ holding on the record date, whichever is higher, will be reserved for small shareholders.

TCI said the buyback will be funded from its securities premium account, free reserves or other legally permitted sources. It also clarified that it will not use borrowed money from banks or financial institutions to fund the payment to shareholders.

The company said the buyback aims to improve returns to shareholders, enhance shareholder value and optimize its capital structure.

BSE will act as the designated stock exchange for the offer. The company will use the stock exchange mechanism prescribed for tender offers under Sebi rules. ICICI Securities has been appointed as the manager to the buyback and buying broker, while ICICI Bank will act as the escrow agent. KFin Technologies has been appointed as registrar to the offer.

Disclosure: This article was written by Podishetti Akash, who is not a SEBI-registered Research Analyst or an Investment Adviser. Podishetti Akash and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclosures here.