Bajaj Auto Stock Surges 6%, Market Cap Crosses Rs 2 Lakh Crore - News

New Delhi, Jan 9 (PTI) The Bajaj Auto stock climbed over 6 per cent on Tuesday to reach its 52-week high level as the company announced a share buyback worth Rs 4,000 crore.

The stock jumped 6.21 per cent to reach its 52-week high of Rs 7,420 on the BSE.

At the NSE, it climbed 5.94 per cent to Rs 7,399 -- its 52-week high.

The company's market valuation went past Rs 2 lakh crore mark helped by a rally in the stock price. Its market capitalisation (mcap) stood at Rs 2,01,506.47 crore.

The company's board on Monday approved a proposal for buy back of up to 40,00,000 shares of face value of Rs 10 each at a price of Rs 10,000 per share for a total consideration not exceeding Rs 4,000 crore.

The buyback is subject to approval of the shareholders.

Share buyback is a practice where companies decide to purchase their own shares from their existing shareholders either through a tender offer or through open market.