TCS jumps nearly 6 pc as Board to consider share buyback on Oct 7

New Delhi: Shares of Tata Consultancy Services (TCS) on Monday jumped nearly 6 per cent ahead of its board meet later this week to consider a share buyback proposal.

The stock gained 5.69 per cent to reach its 52-week high of Rs 2,666.30 on the BSE.

It zoomed 5.67 per cent to Rs 2,666.70 -- its one year high on the NSE.

The company's market valuation was at Rs 9,97,102.43 crore in morning trade on the BSE.

"...the board of directors will consider a proposal for buyback of equity shares of the company, at its meeting to be held on October 7, 2020," TCS said in a regulatory filing on Sunday night.

No other details of the buyback plan were disclosed.

The board is also slated to consider its financial results for the September quarter and declaration of a second interim dividend to the equity shareholders at that meeting.

In 2018, the Mumbai-based company had undertaken a share buyback programme worth up to Rs 16,000 crore.

The buyback, at Rs 2,100 per equity share, had entailed up to 7.61 crore shares. In 2017 too, TCS had undertaken a similar share purchase programme.

TCS had announced the mega buyback offer as part of its long-term capital allocation policy of returning excess cash to shareholders.