New Delhi: State-owned oil and gas behemoth Oil and Natural Gas Corporation (ONGC) is considering the buyback of its shares and has said that it will take up the issue in its next board meeting on December 20. A regulatory filing by ONGC said, “It is hereby informed that the meeting of Board of Directors of the company will be held on Thursday, the 20th December, inter-alia, to consider the proposal for buy-back of the fully paid-up equity shares of the company.”
ONGC’s buyback programme is expected to cost about Rs 4,800 crore. It is likely that its internal resources will be used to fund the buyback. Immediately after the news came out, ONGC’s shares on the Bombay Stock Exchange (BSE) were trading at Rs 148.30 a piece, up by 3.53 percent.
The news comes a day after oil marketing company Indian Oil announced buyback of 3.06 percent equity shares at Rs 149 per share, not exceeding Rs 4,435 crore, for a consideration.