March 6, 2017 - Coal India rallied nearly 2 percent on Monday to become the top Sensex gainer in morning trade after world's largest coal producer said its arm Central Coalfields has approved a share buyback plan worth Rs 1,001.88 crore.
At 09:40 am, Coal India was trading 1.3 percent higher at Rs 326.10. It touched a high of Rs 327.95 and a low of Rs 322.85 in the first 30-minutes of trade.
"The board of directors of Central Coalfields Ltd (CCL), our wholly-owned subsidiary, at a meeting held on March 3, 2017 considered and approved the buyback of 5,21,000 fully paid equity shares of face value of Rs 1,000 each from the members of CCL on a proportionate basis through tender offer," Coal India said in a BSE filing today.
The equity shares are proposed to be bought back "for an aggregate amount not exceeding Rs 1,001.88 crore...at a price of Rs 19,230 per equity share payable in cash, subject to the approval of the shareholders of CCL," it said.