TCI shares climb on board approval for ₹150 crore buyback plan

Transport Corporation of India's equity shares rose 1.5 per cent after the company's board of directors approved a share buyback programme worth ₹150 crore during a meeting held on Tuesday, September 29.

The board considered and approved the proposal to repurchase fully paid-up equity shares of the company, signalling management's confidence in TCI's financial position and future prospects. Share buyback programmes are typically initiated when companies believe their stock is undervalued or to optimise capital structure and enhance shareholder returns.

The approval was received positively by market participants, with the stock's upward movement reflecting investor sentiment around the capital allocation decision. Buyback initiatives allow companies to reduce the number of outstanding shares in circulation, potentially improving earnings per share metrics.

Details regarding the specific timeline, quantum of shares to be repurchased, and other operational modalities of the buyback programme are likely to be communicated through regulatory filings and stock exchange notifications in the coming days. The company will need to comply with all applicable regulatory requirements prescribed by the Securities and Exchange Board of India for the execution of the buyback plan.