Logistics solution provider, Transport Corporation of India Ltd (TCI), on September 29 approved a proposal to buy back up to 15,62,500 fully paid-up equity shares of the company. The shares have a face value of Rs 2 each and represent up to 2.03 per cent of the company’s total paid-up equity share capital.
The buyback price has been fixed at Rs 960 per equity share. The aggregate buyback amount will not exceed Rs 150 crore.
TCI’s buyback price of Rs 960 is at an 11 per cent premium to the previous close of Rs 864.85.
The buyback size represents 6.76 per cent of the aggregate of the fully paid-up equity share capital and free reserves based on the latest audited standalone financial statements as of March 31, 2026, and 6.15 per cent based on the consolidated financial statements.
Buyback to be through tender offer route
The buyback will be made from eligible equity shareholders or beneficial owners holding shares as on the record date, excluding the promoters and promoter group and shareholders prohibited under applicable laws.
The company will undertake the buyback on a proportionate basis through the tender offer route. TCI has fixed October 9, 2026 as the record date for determining shareholder eligibility and entitlement.
The promoters and promoter group have informed the company that they will not participate in the buyback.
The Board or the buyback committee can increase the buyback price and reduce the number of shares proposed to be bought back up to one working day before the record date, provided the total buyback size remains unchanged.
Promoters hold 68.66% stake
TCI had 7.68 crore equity shares outstanding as of September 25, 2026. The promoter and promoter group held 5.27 crore shares, representing 68.66 per cent of the company.
Mutual funds held 86.32 lakh shares, or 11.23 per cent, while resident individuals holding nominal share capital up to Rs 2 lakh held 69.20 lakh shares, or 9 per cent.
Foreign portfolio investors in the corporate category held 23.22 lakh shares, representing 3.02 per cent. The IEPF Authority held 11.58 lakh shares, or 1.51 per cent, while HUFs held 10.99 lakh shares, or 1.43 per cent.
The company had 47,787 shareholders as of September 25. The post-buyback shareholding pattern will be determined after completion of the buyback.
TCI to set up wholly owned subsidiary in China
The Board also approved the incorporation of a wholly owned subsidiary in the People’s Republic of China. The proposed entity will be established as a wholly foreign-owned enterprise in the form of a limited liability company. Its name and incorporation date have not yet been finalised.
The subsidiary will operate in logistics and supply chain management. TCI said it is proposed to undertake logistics and supply chain-related activities through the entity.
The company plans to use the subsidiary to support its international logistics network and develop an integrated India-China-Far East logistics corridor. Initial operations are proposed to be established in one of the Free Trade Zones of Shanghai or Shenzhen.
China subsidiary investment capped at $2 million
TCI’s overall financial commitment to the proposed China subsidiary will be up to USD 2 million or its equivalent in another freely convertible foreign currency. The amount may be invested in one or more tranches depending on business requirements and applicable laws.
TCI will hold 100 per cent of the equity share capital and control of the proposed subsidiary after incorporation.
