SIS to Launch Share Buyback at ₹404 Per Share Starting June 12

SIS Limited, a prominent provider of security, facility management, and cash logistics services, has announced a share buyback initiative at a price of ₹404 per equity share. 

The offer will open on 12 June 2025, providing shareholders an opportunity to tender their shares at a favourable price. The buyback will be executed via the tender offer route, allowing eligible shareholders to submit their shares for repurchase at the set price.

Buyback Structure and Shareholder Eligibility

The SIS Board approved the proposal in its 25 March 2025 meeting, outlining the plan to repurchase up to 3,712,871 equity shares, equating to approximately 2.57% of the company’s paid-up capital. The total buyback value is capped at ₹150 crore. To qualify, investors must have held SIS shares on or before the record date of 6 June 2025. 

This marks the company’s 4th buyback in recent years, indicating a continued focus on efficient capital deployment and enhancing investor returns. The company emphasised that this move is aimed at optimising capital structure while improving key financial metrics such as EPS and ROE, without hindering future expansion plans.

SIS Q4FY24 Results

Despite a challenging final quarter, SIS posted a rise in total income to ₹3,444.5 crore in Q4FY25, up from ₹3,153.6 crore in the corresponding quarter of FY24. However, the company reported a net loss of ₹223.35 crore for the quarter, significantly higher than the ₹11.66 crore loss in Q4FY24. This was largely due to a substantial increase in goodwill impairment charges, which surged to ₹305.8 crore compared to ₹65.6 crore in the previous year. 

Nonetheless, SIS highlighted its long-term financial strength, noting a consistent rise in annual revenue, from ₹4,387 crore in FY17 to ₹12,261 crore in FY24, reflecting a 15.8% CAGR. The company affirmed that the buyback would not compromise its ability to pursue upcoming growth opportunities or meet its operating cash needs.

Read more: Best Paint Stocks in June 2025 Based on 5-Year CAGR!

SIS Share Price Performance 

As of June 11, 2025, at 11:10 AM, SIS share price is trading at ₹374.30 per share, reflecting a surge of 0.080% from the previous day's closing price. The stock's 52-week high stands at ₹459.90 per share, while its low is ₹287.60 per share.

Conclusion 

SIS Limited’s buyback at ₹404 per share is a strategic move to distribute surplus cash and enhance shareholder value. With strong financial growth and confidence in its operational capabilities, the buyback offers a favourable exit to investors without compromising the company’s future prospects.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

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