Infosys Announces Mega Buyback at ₹1,800 Per Share

Infosys has announced a mega buyback worth ₹18,000 crore, set to open on November 20, 2025, and close on November 26, 2025. The tender offer will repurchase 10 crore fully paid-up equity shares at a fixed price of ₹1,800 per share, representing up to 2.41% of the company’s total paid-up equity. The record date to determine eligible shareholders was November 14, 2025.

The buyback is structured into two categories. The Reserved Category is for small shareholders holding equity shares worth ≤ ₹2,00,000 as of the record date. They are entitled to a 2:11 ratio, meaning 2 shares can be tendered for every 11 shares held, ensuring a better chance of acceptance. The General Category covers the remaining shareholders, with an entitlement of 17 shares for every 706 held. 15% of the buyback is reserved for small shareholders, reinforcing Infosys’ focus on retail investor participation.

Infosys’ promoters and promoter group members, including Nandan Nilekani and Sudha Murty, will not participate, holding approximately 13.05% of total equity. Their non-participation leaves more allocation available for public investors.

The company has stated that this buyback is part of its capital allocation policy, aimed at returning surplus cash to shareholders while maintaining strategic and operational reserves. Infosys plans to continue its policy of returning ~85% of free cash flow over a 5-year period through dividends or buybacks. By reducing the number of outstanding shares, Infosys also aims to improve earnings per share (EPS) and enhance shareholder value.

Historically, Infosys has conducted several large buybacks: in 2017 (~₹13,000 crore at ₹1,150 per share), 2019 (~₹8,260 crore), 2021 (~₹9,200 crore), and 2022–23 (~₹9,300 crore at ₹1,850). The market reacted positively to the latest announcement, with Infosys shares rising by ~3.5%, reflecting investor confidence in the company’s strategy.

For shareholders, especially retail investors, this buyback represents an opportunity to receive cash at a premium while Infosys demonstrates its financial strength and commitment to returning value. However, participation in the tender offer is subject to total demand and final allocation by the company.