 "RIL buys back Rs 1481 cr of its own shares in four months")
New Delhi: After a slow start, Reliance Industries Ltd (RIL)’s share buyback programme seems to have gathered pace with the company having acquired stocks worth Rs 1,481 crore since the launch of its share repurchase offer in February.
According to the information available with the bourses, RIL that began a buyback programme of Rs 10,440 crore early this year, has so far purchased shares worth Rs 1,481.66 crore. This translates to about 14 per cent of the total amount earmarked for purchase of shares.
Between 14 February and 24 May, the country’s second-most valued firm purchased 1.92 crore shares at an average price of Rs 771 apiece.
[caption id=“attachment_322426” align=“alignleft” width=“380” caption=“Between 14 February and 24 May, the country’s second-most valued firm purchased 1.92 crore shares at an average price of Rs 771 apiece :File photo”]  [/caption]
Although, the buyback begun in February, it gained momentum in May as the company has picked up about 1.20 crore shares this month compared to 29.89 lakh shares in April.
RIL had bought back 22.55 lakh shares in March.
Market experts are of the opinion that the oil and gas giant is buying back shares aggressively from the open market with an aim to shore up stock valuations.
According to CNI Research Head Kishor Ostwal, the success of buyback offers depends on many factors like willingness to buy the proposed shares and premium sustainability.
“In fact, many corporate houses failed to utilise the entire corpus targeted for the purpose in past and many firms even discontinued buying activities despite shares being available well below maximum buyback price,” he added.
RIL posted a 21 per cent decline in net profit at Rs 4,236 crore even though its revenues rose 17 per cent to Rs 85,182 crore in the quarter ended March 31, 2012. The quarterly numbers were hurt by weak refining margins and declining gas output from its offshore fields.
The company’s cash and bank balance stood at Rs 39,598 crore as of March, 2012.
PTI
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
](https://images.firstpost.com/wp-content/uploads/2012/05/RIL-REUTERS.jpg){kind=link}