Buyback Alert: Divis Laboratories Competitor Approves Rs 800 Crore Share Buyback

On Monday, Indian markets opened on a slightly negative note, with the Nifty 50 declining 0.57 per cent to trade at 22,581, compared to its previous close of 22,713. Amid this broader weakness, Aurobindo Pharma’s share price was trading at 1,332, down 0.09 per cent from its previous close of 1,333, as of 10:07 AM on March 4, 2026. Separately, the company announced in a filing that it has approved a share buyback. 

Aurobindo Pharma Approves Rs 800 Crore Share Buyback at Rs 1,475 per Share via Tender Offer Route

Aurobindo Pharma has approved a share buyback of up to 54,23,728 fully paid-up equity shares at Rs 1,475 per share, with a total outlay of up to Rs 800 crore. The proposed buyback represents 0.93 per cent of the company’s total paid-up equity share capital.

The buyback size of Rs 800 crore is equal to 3.93 per cent of the company’s total funds on a standalone basis and 2.62 per cent on a consolidated basis, based on its latest financial statements as of March 31, 2025. Here, total paid-up equity refers to the total value of shares issued by the company to its shareholders, while aggregate means the combined total of this share capital and the company’s reserves or profits kept aside over time. The total buyback amount does not include additional costs such as brokerage, Taxes, and other related expenses.

The repurchase will be conducted through the tender offer route in accordance with the SEBI (Buy-Back of Securities) Regulations, 2018 and the Companies Act, 2013. It will be open to all equity shareholders and beneficial owners as on the record date, including promoters and members of the promoter group, on a proportionate basis.

Buyback Price Flexibility Retained; Promoter Holding at 51.82  Per cent

The board has retained the flexibility to increase the buyback price and correspondingly reduce the number of shares proposed to be bought back, without altering the overall buyback size, up to one working day prior to the record date.

As of December 31, 2025, promoters and promoter group entities held 51.82 per cent of Aurobindo Pharma’s 58,08,01,623 equity shares. The post-buyback shareholding pattern will be determined upon completion of the process.

About Aurobindo Pharma

Aurobindo Pharma Limited, founded in 1986 and headquartered in Hyderabad, is an integrated global pharmaceutical company engaged in the development, manufacturing and marketing of generic medicines, speciality products, injectables and active pharmaceutical ingredients (APIs). The company operates in over 150 countries, supported by a network of manufacturing facilities and subsidiaries worldwide.

The company has a market capitalisation of Rs 77,064 crore. The share price is trading close to its 52-week high of Rs 1,359.00 and well above the 52-week low of Rs 994.35. In terms of stock performance, the share has delivered returns of 20.92 per cent over one year, 18.88 per cent over two years and 149.62 per cent over three years.

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Disclaimer: The article is for informational purposes only and not investment advice.