The stock price of DB Corp, one of India’s biggest media companies, jumped 4% on July 9 from Rs.264 to Rs.283 after its shareholders approved a buyback of 9.2 million shares worth Rs 3.13 billion. The proposal was initially approved by the board on May 26, and at that time the price was around Rs.260. After the July 9 pop, the stock now trades much lower at Rs. 220.
During the buyback, promoters Sudhir Agarwal, Girish Agarwal, Pawan Agarwal, Jyoti Agarwal, Namita Agarwal and Nitika Agarwal along with promoter entities DB Consolidated and Stitex Global tendered 3.23 million shares worth Rs 1.10 billion. Even during the Infosys buyback, promoters had tendered a considerable amount of shares. There, too, instant gratification proved elusive. Compared with its curr