Last Updated: Mar 19, 2024 Value Broking 2 Mins 2.5K

To participate in a buyback facilitated by Kotak Securities, you can follow a straightforward process through their Kotak Stock Trader App. Here’s a step-by-step guide to applying for a buyback:

Step 1: Login to the Kotak Stock Trader App: Access your Kotak Securities account via the app using your credentials.
Step 2: Click on ‘More’: Navigate through the options available on the app and locate the ‘More’ section.
Step 3: Select ‘Buyback’ under Core Investment Products: Within the ‘More’ section, find and click on the ‘Buyback’ option specifically categorized under core investment products.
Step 4: Choose the Company: From the list of available buyback options, select the company whose buyback offer you intend to participate in.
Step 5: Provide Order Details and Submit: Enter the necessary details regarding the number of shares you wish to tender for the buyback and any other required information. Once completed, click on ‘Submit’ to process your application.

For the Tender Offer method of buyback, ensure that you hold the stocks in your Depository Participant (DP) account on the record date to be eligible for participation. The buyback price offered during this method is typically higher than the prevailing market price.

Regarding the Open Market Offer, the company buys shares from sellers on the stock exchange over an unspecified period, which can extend for an extended duration. During this process, the company’s brokers execute transactions on behalf of the company.

It’s essential to review the offer document thoroughly for specific details, including the buyback period, price, and any other relevant terms or conditions set by the company initiating the buyback.

By following these steps and staying informed about the buyback terms, you can efficiently apply for a buyback through Kotak Securities, choosing the method that aligns with your investment strategy and preferences.