Press Release 2022
31-03-2022
GAIL (India) Limited
GAIL to buyback about 5.70 crore shares @ Rs 190 per share Buyback price 24 % premium on previous close
New Delhi, March 31, 2022: GAIL (India) Limited today approved buyback of about 5.70 crore shares @ Rs. 190 per share aggregating to about Rs 1,083 crores (excluding taxes). The buyback price of equity share is at 24% premium on previous day close price at NSE.
The decision was taken by the Company’s Board of Directors at its meeting here today to consider buyback of the fully paid up equity shares of the Company. The Board approved buyback of about 5.70 crore shares through tender offer represents 2.50% of its paid- up capital and free reserves as on March 31, 2021.
GAIL has been consistently rewarding its shareholders through regular dividends, issue of bonus shares and also buyback of shares at premium. During current financial year, the Company has paid the highest ever interim dividend amounting to Rs 3,996 crore (at the rate of 90% of the face value). The Company had issued Bonus shares in FY 2008-09, 2016-17, 2017-18 & 2019-20. Further, the Company has also completed buyback of its equity shares in March 2021 @ 2.5% of Net Worth amounting to about Rs 1046 crore i.e, about 6.97 crore shares @ Rs. 150 per share.
GAIL’s started its business in 1984 as Natural Gas Transmission Company with a single cross-country trunk pipeline, which has now become the flagship natural gas company of India. It is the largest integrated Natural gas marketing and Transmission Company having its presence along entire natural gas value chain comprising Gas transmission and marketing, LPG Transmission, gas processing, petrochemicals, LNG imports, Exploration & Production and City Gas Distribution. GAIL owns and operates around 13,840 KM which is 74% of total length of cross-country natural gas pipeline network in 28 states and Union Territories. GAIL is leading gas marketing Company in India which sells around 52% of natural gas and 44 % of LNG sold in India.
The Company supplies 67% of gas consumed in Fertilizer sector, 53% in Power and 60% in CGD, in India. With its LNG portfolio of over 14 MTPA and diversity in supply sources and price indices, GAIL is well poised to cater to the needs of the customers and actively contribute towards the national goal of a ‘gas-based’ economy. The Company has also embarked upon alternate energies like green hydrogen, renewables and bio-fuels projects which are of national importance and would likely provide a transition to the future.