UPL Limited as a company was established on January 02, 1985. The Company’s initial name was United Phosphorus Limited. The headquartered of the Company are in Mumbai, Maharashtra. After being known as UPL Limited, the Company is an Indian MNC that has been engaged in the business of agrochemicals and industrial chemicals manufacturing. The Company also manufactures chemical intermediates. The Company also provides food value chain services and digital and technological solutions in chemical production and operation. The major source of the Company’s revenue is its agro business-based business. Checkout UPL buyback 2022 price, size, buyback acceptance ratio and more details.
Under this business vertical, the Company carries out the manufacturing and marketing of conventional agrochemical products, Crop Protection Solutions, high-quality seeds, BioSolutions, Post-Harvest Solutions, Soil & Water Technologies, and other products that have been used in the agricultural industry. The Company generates around $ 5 billion from the agrochemical segment. UPL, with its strong market presence and established business operations, is amongst the top 5 agricultural solutions provider on a global level. The Company has a reached more than 90% of the world’s food basket.
UPL Limited has 23 manufacturing sites that have been spread in different countries. The majority of their manufacturing plants, around nine, are in India. The Company also operates four manufacturing plants in France, two special phosphates, and another chemical manufacturing plant in Spain. UPL has a market share in every continent of the world and has a huge customer base in 123 countries.
The Company has a huge business engagement, and to carry it out, they have led to the formation of the subsidiary offices in Argentina, Australia, Brazil, Bangladesh, Denmark, China, France, Canada, Germany, Japan, Hong Kong, USA, Russia, Netherlands, and many more countries. The Company also offers s, High-Quality Seeds.
UPL Limited, on a consolidated basis in the last twenty-five years of its business operation, has carried out an acquisition of 40 companies. As of now, the Company has 10,000 plus employees on payroll terms with 13,932 registrations.
NECESSITY OF THE ISSUE:
The objective of the Buyback of the Company is:
- To improve the financial matrix of the Company, such as ROE, RoCE
- Reduction in the equity base of the Company
- Long term increase and wealth creation for the Shareholders
UPL BUYBACK 2022 OFFER DETAILS:
| Buyback Type | Open Market Buyback |
| Buyback Record Date | Open Market Buyback, so no record date as for tendering process |
| Buyback Offer Amount | Rs. 1100 Crores |
| Date of Board Meeting approving the proposal | 02 March, 2022 |
| Date of Public Announcement | 02 March, 2022 |
| Buyback Offer Size | 1.65% of the equity capital of the company |
| Buyback Number of Shares | 1,25,71,428 equity shares of the company |
| Listing | NSE, BSE |
| Face Value | Rs. 2 |
| Buyback Price | Rs. 875 per equity share. |
| Buyback Opening Date | 07 Apr 2022 |
| Buyback Closing Date | 06 Oct 2022 |
| Reconciliation of equity share capital base of the Company considering the Pre and Post extinguishment of the equity shares | ||
| Particulars of the company | No. of equity shares | Equity Share Capital as in Rs. |
| Paid-up Equity Share Capital (Pre – Extinguishment) | 76,40,45,456 | 1,52,80,90,912 |
| Equity Shares extinguished | 27,39,900 | 54,79,800 |
| Equity Shares being extinguished | NA | NA |
| Paid-up Equity Share Capital (Post Extinguishment) | 76,13,05,556 | 1,52,26,11,112 |
Check out the complete Buyback 2022 details here.
FINANCIAL TRENDS OF UPL BUYBACK 2022:
| Particulars | For the year ending with the amount as in Rs. in Crores | ||
| 31 March 21 | 31 March 20 | 31 March 19 | |
| Total Income | 11,458 | 10,147 | 9,220 |
| Profit After Tax | 220 | 461 | 405 |
| Net Worth | 7,786 | 8,024 | 7,972 |
| PARAMETER | MARCH 21 | MARCH 20 | YoY % |
| Earnings Per Share (Rs) | 37.53 | 23.22 | 61.66 |
| CEPS (Rs) | 73.54 | 54.73 | 34.37 |
| DPS (Rs) | 10.00 | 6.00 | 66.67 |
| Book NAV/Share (Rs) | 233.99 | 213.03 | 9.84 |
| Tax Rate (%) | 16.57 | 21.22 | -21.91 |
| Core EBITDA Margin (%) | 18.32 | 16.15 | 13.45 |
| EBIT Margin (%) | 13.60 | 10.50 | 29.52 |
| Pre – Tax Margin (%) | 9.08 | 6.58 | 37.94 |
| PAT Margin (%) | 7.58 | 5.19 | 46.08 |
| Cash Profit Margin (%) | 12.34 | 9.98 | 23.64 |
| ROA (%) | 5.03 | 3.32 | 51.43 |
| ROE (%) | 20.19 | 14.03 | 43.97 |
| ROCE (%) | 13.40 | 9.59 | 39.69 |
| Asset Turnover (x) | 0.66 | 0.64 | 3.66 |
| Sales/Fixed Asset (x) | 0.98 | 0.96 | 1.53 |
| Working Capital/Sales (x) | 4.36 | 3.34 | 30.68 |
| Fixed Capital/Sales (x) | 1.02 | 1.04 | -1.51 |
| Receivable days | 97.92 | 102.45 | -4.42 |
| Inventory Days | 69.15 | 73.90 | -6.42 |
| Payable days | 217.50 | 195.52 | 11.24 |
| PER (x) | 17.11 | 14.06 | 21.71 |
| PCE (x) | 8.73 | 5.96 | 46.43 |
| Price/Book (x) | 2.74 | 1.53 | 79.13 |
| Yield (%) | 1.56 | 1.84 | -15.29 |
| EV/Net Sales (x) | 1.76 | 1.31 | 33.81 |
| EV/Core EBITDA (x) | 7.89 | 6.67 | 18.38 |
| EV/EBIT (x) | 10.96 | 10.65 | 2.88 |
| EV/CE (x) | 0.99 | 0.69 | 44.10 |
| M Cap / Sales | 1.27 | 0.70 | 81.81 |
| Net Sales Growth (%) | 8.22 | 63.74 | -87.11 |
| Core EBITDA Growth (%) | 22.32 | 72.14 | -69.06 |
| EBIT Growth (%) | 40.76 | 59.74 | -31.77 |
| PAT Growth (%) | 58.76 | 39.33 | 49.38 |
| EPS Growth (%) | 61.66 | -20.59 | 399.44 |
| Total Debt/Equity (x) | 1.13 | 1.49 | -23.87 |
| Current Ratio (x) | 1.53 | 1.75 | -12.58 |
| Quick Ratio (x) | 1.05 | 1.28 | -17.95 |
| Interest Cover (x) | 3.01 | 2.68 | 12.27 |
| Total Debt/Mcap (x) | 0.48 | 1.15 | -58.09 |
UPL BUYBACK 2022 CALCULATION OF ACCEPTANCE RATIO:
The calculation for the buyback offer has been done considering that the investor buys 228 equity shares of the Company at a market price of Rs. 689.
| Acceptance Ratio | Investment | Shares Buyback | Profit |
| 33% | Rs. 157,092 | 75 | Rs. 13,950 |
| 50% | Rs. 157,092 | 114 | Rs. 21,204 |
| 75% | Rs. 157,092 | 171 | Rs. 31,806 |
| 100% | Rs. 157,092 | 228 | Rs. 42,408 |
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MARKET SUBJECT:
The Board of the Company has approved the proposal to buy around 14.56 percent of the equity capital base of the Company. The Company stated that it would be spending around 5.71 percent of its free reserves for carrying out the buying process. The buyback is Rs. 1,000 crores at Rs. 875 per equity share of the Company. On the day of the event’s announcement, the shares of the Company tanked up by four percent and ended the day with Rs. 689 per equity share. The company board also stated that the minimum purchase via the open market for the buyback is 62,85,714 equity shares. The Company also stated that if the equity shares have been bought back at a well below the buyback price, it will enhance their buyback size in terms of the Company’s equity shares. Currently, as of the latest shareholding pattern of the Company, the promoters of the Company hold 28 percent while the institutional players hold a total of 61 percent. The retail investors only hold 11 percent of the equity of the Company. Holding.
On May 06, the stock performed as:
- Open: Rs. 815
- High – Low: Rs. 815 – Rs. 779.45
- Previous Close: Rs. 823.25
- Total Traded Value: 3256336
- Close: Rs. 786.85
- Chane of: -Rs. 36.40 (-4.42%)
COMPANY ADDRESS:
UPL House, 610 B/2,
Bandra Village,
Off Western Express Highway,
Bandra (East),
Mumbai 400 051 India
Toll-Free number: 1800 102 1199
Email ID: global.enquires@upl-ltd.com
website: https://www.upl-ltd.com/
REGISTRAR OF THE BUYBACK:
Link Intime India Private Limited
C-101, 247 Park, LBS Marg,
Vikhroli (West), Mumbai – 400 083
Contact No: +91-22-49186270
Fax No: +91-22-49186060
Email: rnt.helpdesk@linkintime.co.in
Website: https://linkintime.co.in/
MANAGER OF THE BUYBACK:
Address: 7th Floor, Cnergy,
Appasaheb Marathe Marg, Prabhadevi,
Mumbai – 400 025, Maharashtra, India
Tel: +91 22 6630 3030
Fax: +91 22 6630 3330
Contact Person: Prachee Dhuri
Email: upl.buyback@jmfl.com
Website: www.jmfl.com
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