Seven-eight PSU buybacks being planned for FY21; emphasis on cos with extra cash

Seven to eight buybacks are being planned for the current fiscal year with a lot of emphasis being on the companies with extra cash, sources told CNBC-TV18.

“Wherever the Central Public Sector Enterprises (CPSEs) have extra cash after meeting capex, the govt is requesting companies, 'if your stock price is lower than book value pls come with a buyback'," said the sources on the condition of anonymity.

“Even if the stock price is above book value and there is extra cash, buybacks are being proposed," they added.