AIA Engineering Buyback 2024

Aia Engineering Ltd. Buyback

AIA Engineering Buyback 2024
Tender Offer

₹5,000.00

Buyback price per share

19 Aug, 2024

Last Date to buy shares

20 Aug, 2024

Record Date

26 Aug, 2024

Offer Opens

30 Aug, 2024

Offer Closes

30 Aug, 2024

Last Date for Tender Forms

05 Sep, 2024

Finalisation of Buyback Acceptance

06 Sep, 2024

Last Date for settlement of bids

18 Sep, 2024

Last Date for Extinguishment of Shares
About Aia Engineering Ltd. Buyback Company

Ahmedabad Induction Alloys (AIA) Engineering Limited was established in 1978 and is engaged in the design, development, manufacture, installation and maintenance of wear-resistant high chromium material parts for grinding equipment in the cement, mining, and quarrying industries.

Together with Vega Industries, the international marketing arm of AIA Engineering, the company develops and manufactures innovative products and offers complete solutions to give customers' businesses the boost they need. The company has three main focus areas:
Mining: the company offers solutions from the grinding process to downstream process optimization and has significant manufacturing capacity for high chrome grinding media and mill liners.
Cement: Production of wear parts for cement plants. The product portfolio includes high-chromium grinding media, mill linings, and vertical mill linings. The company also offers marked ball testing, custom linings, and VRM optimization services.
Quarries: Supply of wear and impact-resistant alloys and inserts. The product range includes blow bars, hammers, impellers, anvils, feed disks, and frame linings.

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Aia Engineering Ltd. Buyback Details
  • Security Name Aia Engineering Ltd.
  • Buyback Price ₹5,000.00
  • Face Valuet ₹2.00
  • Listing at Group BSE, NSE
  • Lead Manager Vivro Financial Services Private Limited
  • Issue Size 1,000,000 (1.06 % of Total number of equity Shares)
  • Buyback Docs Letter Of Offer
Aia Engineering Ltd. Buyback Ratio
Categoryy Entitlement Ratio of Buyback Shares Offered
Reserved Category for Small Shareholders 1/4
General Category for all other Eligible Shareholders 1/111
Aia Engineering Ltd. Buyback Company Financials
All values are in ₹ Cr.
31-Mar-24 31-Mar-23 31-Mar-22
Profit After Tax 1,136.99 1,056.5 --
Reserves And Surplus -- -- --
Total Assets 6,631.2 7,495.17 --
Total Borrowing -- -- --
Net Worth -- -- --
Total Revenue 5,135.16 5,143.31 --
How to Participate in Aia Engineering Ltd. Buyback?
Hold shares on Record Date
Firstly, to be eligible for the buyback the investor should have shares of Aia Engineering Ltd. Buyback in Demat or physical form as on the record date Aug 20, 2024.
Tender via Broker or Exchange
Once you have shares in Demat, you can participate in the buyback process which is opening from Aug 26, 2024 by tendering your shares through your broker on BSE, NSE.
Receive Payment & Reversal
Then on Sep 18, 2024, the payment will be given to you for accepted shares and unaccepted shares will be returned to your Demat account.
Calculation of Investment in Aia Engineering Ltd. Buyback Buyback 2026
Maximum market value of a share holder as on record date
₹200,000.00
Buyback price per share
₹5,000.00
Maximum share for small shareholders (200000/ 5000)
40.00 share
Closing price of stock as of 2024-08-07
₹4,510.01
Maximum amount instead in buyback (₹4,510.01 x 40 shares)
₹180,400.40

* No. of shares stands to change according to the closing price on the record date

* For simplicity, we have considered the price on date Aug 7, 2024

Expected Profit from the Aia Engineering Ltd. Buyback on the bases of acceptance Ratio:
Acceptance Ratio Amount Invested in Buyback No. of Shares Buyback Buyback Profit Profit%
33% ₹180,400.40 13 6369 3.53%
50% ₹180,400.40 20 9799 5.43%
75% ₹180,400.40 30 14699 8.15%
100% ₹180,400.40 40 19599 10.86%

Amount Invested in Buyback: ₹180,400.40

33% Acceptance Ratio
Shares Buyback: 13
Buyback Profit: 6369
Profit %: 3.53%
50% Acceptance Ratio
Shares Buyback: 20
Buyback Profit: 9799
Profit %: 5.43%
75% Acceptance Ratio
Shares Buyback: 30
Buyback Profit: 14699
Profit %: 8.15%
100% Acceptance Ratio
Shares Buyback: 40
Buyback Profit: 19599
Profit %: 10.86%
Aia Engineering Ltd. Buyback - Necessity of the Objective

The buyback will help the company to return the surplus cash to its shareholders holding equity shares.

The buyback, which is being implemented through the tender offer as prescribed under the buyback regulations, would involve a minimum reservation of 15% for small shareholders and allocation of a higher number of shares as per their entitlement or 15% of the number of shares to be bought back, reserved for the small shareholders. The company believes that this reservation for small shareholders would benefit a large number of public shareholders, who would be classified as small shareholders.

The buy-back is being proposed by the company to service the equity more efficiently, additionally, the company management strives to increase equity shareholder's value.

The buyback is expected to improve return on equity through the distribution of cash and improve earnings per share by a reduction in the equity base; thereby increasing in a long-term increase in shareholder's value.

The buyback gives an option to the shareholders holding equity shares of the company, either to sell their equity shares and receive cash or not to sell their equity shares and get a resultant increase in their percentage shareholding, post the buyback offer, without additional investment.

Contact Details

Aia Engineering Ltd. Buyback

115, G.V.M.M. Estate, Odhav Road, Odhav, Ahmedabad - 382415.

+91-79-22901078

ric@aiaengineering.com

http://www.aiaengineering.com/

Registrar Contact Details

Link Intime India Private Ltd

aiaengineering.buyback2024@linkintime.co.in

+91-22-4918 6270

https://linkintime.co.in/initial_offer/public-issues.html