Infosys, India’s second-largest IT services company, has announced a share buyback proposal worth ₹18,000 crore – the biggest in its history. A share buyback is a corporate action where a company repurchases its own shares from the existing shareholders.
Infosys board approved the share buyback proposal on September 11, marking its first since 2022, when the company conducted a ₹9,300 crore buyback.
Here are five key things to know about Infosys share buyback proposal:
1. Infosys Buyback Details
Infosys will repurchase up to 10 crore equity shares, representing 2.41% of paid-up equity share capital of the company.
2. Infosys Buyback Price
Infosys will buyback shares at ₹1,800 apiece payable in cash, aggregating to ₹18,000 crore.
3. Infosys Buyback Record Date
The company has not yet announced the record date for the buyback. The record date determines the shareholders eligible to participate in the corporate action. Only shareholders holding Infosys shares as of that date will be entitled to tender their shares in the buyback.
4. Infosys Buyback Eligibility
Infosys share buyback offer is open to all shareholders, with 15% reserved for small investors. The buyback will be conducted through the tender offer route on NSE and BSE, and the tender window will remain open for five working days once announced.
5. Infosys Buyback Funding
Infosys share buyback will be funded entirely from the company reserves, with no borrowings. This move aligns with the company’s policy capital allocation of returning 85% of free cash flows to shareholders through dividends and buybacks over five years.
Promoter Participation
Infosys has confirmed that its promoters and promoter group, including Nandan M Nilekani and Sudha Murthy, have decided not to participate in the company’s ₹18,000 crore worth share buyback.
In a regulatory filing on October 22, Infosys said that its promoters and the promoter group have declared their intention to not participate in the buyback.
Infosys promoters and promoter group held 14.30% stake in the company, as on September 30, 2025, The remaining 85.46% stake was held by the public shareholders. Among the promoters, Nandan Nilekani held 1.08%, Narayana Murthy 0.40%, and Sudha Murthy 0.91%.
According to Prashanth Tapse, Senior VP (Research), Mehta Equities, the promoters’ decision not to participate in the Infosys share buyback is a strong signal of confidence in the company’s long-term prospects.
“It indicates that they believe the shares are undervalued and worth holding, rather than cashing out at current levels. This move is shareholder-friendly and value-accretive, as it not only reflects management’s optimism but also increases the acceptance ratio for retail investors,” said Tapse.
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