Sebi paves way for Wipro buyback
Sebi has granted certain exemptions to Wipro from buyback norms that could pave the way for the country’s third-largest IT services firm to come out with a fresh share repurchase programme.
Wipro had come out with a share buyback in November 2017. It has plans to come out with another buyback. According to the extant rules, a company can launch such a programme once in 12 months. However, under regulation 24 (ii) of the buyback norms, a firm cannot make public announcement for a share re-purchase during the pendency of any scheme of amalgamation.
In November last year, the Bangalore-based company had filed an application with the market regulator, seeking exemption from the strict enforcement of the buyback norms for the merger of its four wholly owned subsidiaries with itself. It had asked for the exemption so that it can place a proposal for buyback of equity shares before its board of directors.