Bosch shares jumped more than 5 percent on the Bombay Stock Exchange (BSE) on Wednesday after the company informed the stock exchanges on Tuesday evening a proposal to buy back shares.
The shares of the Indian arm of the German multinational engineering and electronics company Bosch were trading with a gain of 4.88 percent at Rs. 22,575 apiece at around 2.40 p.m., after rising to an intraday high of Rs. 22,689 (up 5.40 percent).
"A meeting of the board of directors of the company will be held on July 01, 2016, to consider a proposal for buyback of the company's equity shares," Bosch had said in a regulatory filing with the BSE.
Robert Bosch GMBH holds 71.18 percent in Bosch, based on the shareholding pattern disclosed by the company as on March 31, 2016.
The outstanding share capital of the company was 3,13,98,900 equity shares as at the end of the previous financial year, of which 90.49 lakh shares, or 28.82 percent, are held by the public.
The Bosch Group comprises Robert Bosch GmbH and about 440 subsidiaries and regional companies in 60 countries.