Wipro Stock Up 4% Following ₹15,000 Crore Tender Offer Buyback Announcement

Synopsis: In a major capital allocation move, Wipro Limited has announced a Rs.15,000 crore share buyback via a tender offer at Rs.250 per share. This significant payout follows the company’s full-year results and represents a 5.7% equity stake reduction.

Shares of a leading IT services company moved into the spotlight after the board of directors approved a massive capital return program during its meeting concluded on April 16. The announcement, coupled with the release of the audited financial results for the fiscal year ended March 31, 2026, triggered a surge in investor interest on the bourses. The stock climbed over 4 percent as the market reacted to the premium offered in the buyback proposal.

With a market capitalization of Rs. 2,20,416.14 crore, the shares of Wipro Limited were trading at Rs. 210.15 per share, up 0.19 percent from its previous closing price of Rs. 209.75 apiece. It is trading at a P/E of 16.57.

The Board of Wipro Limited has greenlit a proposal to buy back up to 60,00,00,000 (60 crore) equity shares of the company. The buyback is structured as a tender offer at a price of Rs.250 per equity share, representing a significant premium over the current market price. The total outlay for this exercise is capped at Rs.15,000 crore.

This buyback represents approximately 5.7% of the total paid-up equity share capital of the company. From an analytical perspective, the choice of a tender offer over an open market purchase ensures that a fixed amount of capital is returned to shareholders proportionately, providing a floor to the stock price. The scale of the buyback indicates management’s confidence in its cash flow generation despite the Rs.2,562 million impact noted in the financials due to new labour code implementations.

The company reported its audited standalone results for the year ended March 31, 2026, showing steady growth. Revenue from operations for the full year stood at Rs.71,345 crore, compared to Rs.68,575 crore in the previous fiscal year, marking a 4% YoY increase.

Net profit for the period rose to Rs.12,129 crore, up from Rs.10,913 crore in FY25, reflecting a growth of approximately 11.1%. The expansion in profit margins, despite rising employee benefit expenses which reached Rs.38,880 crore, suggests improved operational efficiencies in sub-contracting and technical fee management.

Business Overview

Incorporated in 1945 and headquartered in Bengaluru, Wipro Limited is a global information technology, consulting, and business process services giant. The company operates across diverse sectors including healthcare, retail, and financial services, maintaining a primary listing on the NSE and BSE, with ADRs listed on the NYSE. 

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