New Delhi, February 11
Markets regulator SEBI on Thursday allowed Thomas Cook (India) to withdraw its buyback offer because of substantial deterioration in the company’s financial position due to the Covid pandemic.
The regulator treated the case as “unique” and said the order is not intended to serve as a precedent.
In February 2020, the Board of directors of the firm had approved the proposal for a buyback of up to over 2.6 crore shares, representing 6.9% of the total paid-up equity share capital as on December 31, 2019, on a proportionate basis through the tender offer process.
Accordingly, it filed a draft letter of offer with SEBI. However, in September 2020, the company had filed an application seeking withdrawal of the buyback offer. — PTI