How Do I Apply for Buyback with Zerodha?

Last Updated: Mar 19, 2024 Value Broking 2 Mins 2.7K

This post will walk you through how to apply for buyback in Zerodha if you’re a Zerodha client interested in corporate buyback activities. Buybacks allow businesses to repurchase their own stock, allowing shareholders to liquidate their holdings. We’ll go through how to apply for buybacks in Zerodha platform, regardless of whether you’ve submitted a Demat Debit and Pledge Instruction (DDPI) or a Power of Attorney (POA).

Without DDPI/POA:

Step 1: CDSL authorisation is required.

Step 2: Visit console.zerodha.com/dashboard and click “Portfolio” followed by “Corporate actions.”

Step 3: Hover over the stock, select “Options,” and click “Place Order.”

Step 4: Enter the number of shares you wish to tender and click “Submit.”

Step 5: Authorise the transaction using CDSL TPIN and verify the OTP on the pop-up window.

Repeat step 3, enter the number of shares for tender, and click “Submit.”

With DDPI/POA:

Step 1: Visit console.zerodha.com/dashboard and click “Portfolio” followed by “Corporate actions.”

Step 2: Hover over the stock, select “Options,” and click “Place Order.”

Step 3: Enter the number of shares you wish to tender and click “Submit.”

Essential Points to Note:

Ensure the required shares are in your demat account before the offer ends. Do not sell shares after placing the order.
Only shareholders who hold shares as of the ex-date/record date are eligible for the corporate action.
Orders can be placed in two tranches: one collected until 6:00 PM, one trading day before the offer end date, and the second collection from 6:00 PM on the day before the offer end date until 1:00 PM on the offer end date.
Online orders incur charges of ₹20 + GST, which are non-refundable.
Once an order is placed, the status will be shown as “Order received.”

Whether you have a DDPI/POA, taking part in corporate buyback in Zerodha is simple. You may easily apply for buybacks on the Zerodha platform by following the step-by-step instructions. Remember the previously mentioned crucial details, including the qualifying requirements, order placing periods, and fees. Stay current on recent and planned company activity to maximise your investing chances.