Bajaj Auto on Monday, June 29, announced that its ₹5,632.8 crore share buyback will open on Wednesday, July 1, and will close on Tuesday, July 7.
Bajaj Auto share price surged as much as 1.06% to ₹9,732 apiece on NSE on Tuesday, ahead of buyback opening.
Bajaj Auto share buyback details
Bajaj Auto has announced a share buyback worth up to ₹5,633 crore, proposing to repurchase shares from eligible shareholders at ₹12,000 apiece, according to its exchange filing.
Under the buyback, the company plans to acquire up to 46.94 lakh equity shares, representing nearly 1.68% of its total paid-up equity share capital. The buyback is being undertaken through the tender offer route.
The board approved the repurchase of up to 46.94 lakh fully paid-up equity shares with a face value of ₹10 each at a buyback price of ₹12,000 per share, payable in cash, for a total consideration of up to ₹5,632.8 crore.
The company had set June 24 as the record date for its buyback offer. Shareholders whose shares are held in their demat accounts as of the record date will be eligible to participate in the buyback by tendering their shares.
Eligible shareholders can tender their dematerialised shares through their registered stockbrokers. Those holding shares in physical form can also participate in the buyback by following the process specified in the letter of offer.
According to the filing, the maximum buyback size has been calculated based on the company’s standalone and consolidated financial statements for FY26. As of March 2026, Bajaj Auto’s consolidated paid-up equity capital and free reserves stood at ₹36,128 crore, enabling the company to undertake a buyback of up to 25% of its paid-up capital and free reserves, in line with regulatory norms.
Bajaj Auto said its healthy business growth, strong cash generation and robust balance sheet provide it with the flexibility to reward shareholders while continuing to retain adequate capital to fund future growth and investment opportunities.
“The buyback reinforces the company’s commitment to its shareholders by returning surplus cash to them in an effective and efficient manner, and is expected to improve its earnings per share and return on equity,” the company said.
Bajaj Auto share buyback – Should you participate?
Mahesh M Ojha, VP Research & Business Development at Kantilal Chhaganlal Securities, said that investors may consider participating in the Bajaj Auto buyback, as it presents an attractive opportunity to generate healthy returns, saying that the buyback offer provides shareholders with a chance to tender their shares at a premium to the prevailing market price, potentially resulting in meaningful gains.
“For eligible investors, the buyback can be a rewarding proposition, particularly given Bajaj Auto‘s strong fundamentals and consistent track record of creating shareholder value. However, investors should also assess factors such as acceptance ratio and market conditions before making a decision,” Ojha said.
Meanwhile, Harshal Dasani, Business Head – INVasset PMS, believes that for retail shareholders already holding the stock, the reserved-category mechanics make participation a useful arithmetic exercise even after tax.
“On the business itself, Bajaj Auto operates at the discretionary end of two-wheelers with a strong export franchise, an improving Chetak EV trajectory, and premium partnerships with KTM and Triumph supporting the long-cycle story. The stock-specific call belongs to personal portfolio fit,” Dasani said.
Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
