Infosys Launches ₹18,000 Crore Buyback Offer
Infosys has announced its largest-ever share buyback valued at ₹18,000 crore. The company will repurchase up to 10 crore fully paid-up equity shares (each of face value ₹5) at a fixed price of ₹1,800 per share, representing about 2.41 % of its paid-up equity capital. The buyback opens on 20 November 2025 and closes on 26 November 2025. The record date for eligibility is 14 November 2025.
Strategic Rationale and Shareholder Impact
Infosys says the buyback aligns with its capital-allocation policy and is funded from its free reserves and securities premium, not borrowed funds. The premium buyback price signals confidence in the company’s cash flows. Small shareholders (defined as those holding shares with market value up to ₹2 lakh) have a dedicated reservation of 15 % of the buyback, or their entitlement—whichever is higher—enhancing their participation opportunities. Promoters have chosen not to participate in the buyback.
What Retail Investors Should Note
For retail shareholders, this buyback offers a chance to tender shares at a premium above market price. However, acceptance will be pro-rata; given only 2.41% of equity is targeted, not all tendered shares may be accepted. Taxation remains a key consideration: buyback pay-out will be subject to tax deduction and may reduce net gains for those in higher tax brackets. Holding the stock instead may still appeal to long-term investors who expect EPS improvement and value creation from a reduced share base.
