Wipro has emerged as the standout corporate action this week with its largest-ever ₹15,000 crore share buyback at ₹250 per equity share. According to Market News, the board of directors approved the proposal on April 16 to buy back up to 60 crore fully paid-up equity shares of ₹2 each, representing 5.7% of the total paid-up equity share capital. The buyback offer price marks a 250% premium over the closing price as of Wednesday's closing level, making it one of the most significant corporate actions in recent market history. The company will trade ex-dividend on Friday, June 5, with the record date set for the same day.
Experts attributed the recent buyback moves to taxation changes implemented under the new Finance Act 2026, as firms that were hoarding cash now found an opportunity to reward shareholders via the repurchase route. As reported by Market News, under the Finance Act 2026 effective from April 1, 2026, share buyback tax liability has undergone a major shift, with income from buybacks now taxed as capital gains income rather than dividend income. This change makes buybacks more tax-efficient for companies and shareholders compared to previous taxation norms.
Several companies are scheduled for significant corporate actions this week, with Wipro's buyback being the most anticipated. According to Market News, Reliance Industries (RIL) will trade ex-dividend on Friday, June 5, having announced a dividend of ₹6 per equity share for the 2025-26 financial year. Asian Paints has recommended a final dividend of ₹23 per equity share for the financial year ended March 31, 2026, with the record date fixed for June 23, 2026. Other notable actions include Trent's bonus issue of 1:2 ratio and E2E Networks' face value split from ₹10 to ₹1 per share. The comprehensive list includes companies like Cipla, JSW Energy, Bank of Baroda, and ICICI Prudential Life Insurance among others.
According to Market News, Bajaj Auto's buyback represents 9.81% and 7.55% of the total paid-up equity capital and free reserves of the firm, with the company buying back 8,50,000 full paid-up equity shares with face value of ₹10 each. As of the stock market close on May 27, the buyback is at a 12% premium from the current market price of ₹151.22 per share, with a record date of Friday, May 29. The company's share repurchase deal comprises buying back 5,00,000 shares as on the record date, with the promoter and promoter group also participating in the buyback offer.
According to Market News, so far in 2026, the benchmark stock market index NIFTY50 has fallen 8.56% due to supply chain disruption and West Asia crisis. Independent capital markets analyst Ambareesh Baliga noted that companies are looking at buybacks at lower share prices rather than higher levels, as most stocks have fallen. The buyback option allows shareholders to exit at a premium price while companies repurchase shares from the open market via tender offer. Companies prefer buybacks as a signaling mechanism to investors that management believes the underlying business is undervalued or not fairly priced in the current market.
