Mindtree promoters will require the approval of shareholders for a buyback, say experts

Mindtree promoters will have to seek the approval of shareholders by a special resolution if they decide to go ahead with the plan of buyback, experts have pointed out.

According to, the Substantial Acquisition of Shares and Takeover Regulations (SAST) issued by regulator SEBI, the target company shall not implement any buyback of shares after the public announcement of an open offer.

“The board of the target company shall not implement any buyback of shares or effect any other change to the capital structure unless the approval of shareholders by a special resolution (75 per cent+) is obtained,” said a Mumbai-based chartered accountant.