Key Resolution Details
- Special Resolution: Approval for Buyback of Equity Shares of the Company
- Voting Method: Remote e-voting only (no physical ballot)
- E-voting Period: November 04, 2026 (9:00 AM IST) to December 03, 2026 (5:00 PM IST)
- Cut-off Date: October 30, 2026 for determining shareholders eligible to vote
- Scrutinizer: Mr. Devesh Kumar Vasisht, Managing Partner of M/s. DPV & Associates LLP
- E-voting Service Provider: National Securities Depository Limited (NSDL)
Buyback Terms
- Buyback Size: ₹48,00,00,000 (Rupees Forty Eight Crores only)
- Buyback Price: ₹1,000 per equity share
- Maximum Shares: 4,80,000 equity shares (3.15% of total paid-up equity capital as of March 31, 2026)
- Percentage of Capital/Reserves: 21.95% of standalone and 18.43% of consolidated paid-up equity capital and free reserves
- Method: Tender Offer route through stock exchange mechanism
- Source of Funds: Free reserves, securities premium account, current surplus, cash balances, current investments, internal resources (no borrowed funds)
- Transaction Costs: Excluded from buyback size (filing fees, brokerage, taxes, advisor fees, etc.)
Reservation for Small Shareholders
- 15% of buyback shares reserved for small shareholders (market value ≤ ₹2,00,000 as on record date)
- Higher of 15% of proposed buyback shares or actual small shareholder entitlement
Price Premium Details
The buyback price of ₹1,000 represents:
- 21.83% premium over 3-month VWAP on BSE preceding October 26, 2026
- 21.17% premium over 3-month VWAP on NSE preceding October 26, 2026
- 30.27% premium over BSE closing price on October 25, 2026
- 29.49% premium over NSE closing price on October 25, 2026
- 29.42% premium over BSE closing price on October 26, 2026 (intimation date)
- 30.06% premium over NSE closing price on October 26, 2026
- 23.87% premium over BSE closing price on October 29, 2026 (board meeting date)
- 23.44% premium over NSE closing price on October 29, 2026
Board Authority and Flexibility
The Board/Buyback Committee may, one working day prior to record date:
- Increase buyback price and decrease number of shares proportionately
- Maintain same buyback size (₹48 crore)
Promoter Participation
- Promoter Digitide Solutions Limited (73.39% holder) may tender up to 11,182,912 shares
- Shares acquired on March 31, 2025, through demerger from Quess Corp Limited
Financial Capacity
- Based on March 31, 2026 audited financials:
- Standalone paid-up capital: ₹1,524 lakhs
- Standalone free reserves: ₹18,528 lakhs (general reserve ₹1,413 lakhs, securities premium ₹12,019 lakhs, retained earnings ₹5,096 lakhs)
- Consolidated paid-up capital: ₹1,524 lakhs
- Consolidated free reserves: ₹24,607 lakhs
- Maximum permissible buyback: 25% of lower of standalone/consolidated capital+reserves = ₹5,013 lakhs
- Proposed buyback (₹4,800 lakhs) within permissible limits
- Debt-to-equity ratio post-buyback will be ≤ 2:1 as required
Tax Implications for Shareholders
- Effective April 1, 2026: Tax levied directly on shareholders (not company)
- Treated as capital gains (buyback price minus acquisition cost)
- Long-term gains (>12 months): 12.5% tax with ₹1.25 lakh exemption
- Short-term gains (≤12 months): Taxed at applicable income tax rates
Timeline and Process
- Buyback to be completed within 12 months from shareholder approval
- Record date to be announced later
- Letter of offer dispatched within 2 working days from record date
- Settlement through stock exchange mechanism
- Shares bought back will be extinguished and physically destroyed
Board Confirmations
- Company has no defaults in repayment of deposits, debentures, term loans, or dividend payments
- Adequate funds available for buyback without borrowing
- Company will not issue new shares during buyback period except for bonus issues or obligation discharge
- No further capital raising for one year after buyback completion
- All shares are fully paid-up
- No pending schemes of amalgamation/compromise
Auditor Certification
- Deloitte Haskins and Sells provided report confirming:
- Permissible capital payment properly determined
- Company will not be rendered insolvent within one year from October 29, 2026
- Based on audited financials as of March 31, 2026
Voting Instructions
- Electronic voting only through NSDL platform
- Detailed voting instructions provided for demat and physical shareholders
- Helpdesk contacts provided for technical support
- Institutional shareholders must submit board resolutions/authority letters
Documents Availability
- Postal ballot notice available on company website (www.alldigitech.com), BSE, NSE, and NSDL websites
- Documents available for inspection until December 3, 2026