Mumbai: Jute yarn and fabric maker Cheviot Co’s board on Tuesday approved a proposal to buyback shares at Rs 900 per scrip.
In an exchange filing, the company said its board had approved to buyback up to 2,00,000 fully paid-up shares representing 3.09 per cent of the present total share capital at Rs 900 per share.
Reacting to the announcement, Cheviot’s shares recovered from the day’s low of Rs 700, and traded 4.34 per cent lower at Rs 740 on the BSE, while benchmark Sensex was trading 0.57 per cent higher at Rs 38,637 points.
Over the last one week, the stock has rallied more than 19 per cent after the company on September 3 said that it would consider a share buyback. The stock is still down more than 7 per cent on year-to-date basis.
Last month, Cheviot reported that its net profit rose 3.17 per cent to Rs 12.38 crore in the quarter ended June, even as its sales slumped 76.68 per cent.