Advanced Enzyme Technologies Limited extinguished 8,25,028 equity shares in September 2026. The reduction follows the company's ongoing buyback programme executed through the open market route.

The shares, each with a face value of ₹2, were purchased during August 2026. Central Depository Services (India) Limited processed the extinguishment on September 2, 2026. The company notified the stock exchanges on September 8, 2026.

Transaction Details

The extinguishment was carried out entirely in dematerialized form. No physical share certificates were cancelled as part of this specific transaction batch.

Regulatory Compliance

The action complies with Regulations 11 and 21 of the SEBI (Buy-Back of Securities) Regulations, 2018. Shiv Hari Jalan & Co., the secretarial auditor, issued a certificate confirming compliance. The firm verified that the number of shares bought back matched those extinguished by CDSL.

Mukund Kabra, Whole-time Director, and Vinodkumar Jajoo, Independent Director, signed the certificate on behalf of the board. Sanjay Basantani, Company Secretary, filed the disclosure with BSE and NSE.

Advanced Enzyme Technologies Limited continued its approved open market buyback by repurchasing 55,332 equity shares on September 4, 2026. The transactions were executed exclusively on the National Stock Exchange (NSE) at an average acquisition price of ₹297.93, well below the maximum permitted price of ₹500 per share.

Buyback Progress Update

Emkay Global Financial Services Limited, acting as the Manager to the Buyback, facilitated the transactions. As of September 4, 2026, the cumulative number of equity shares bought back stands at 10,28,788. There were no closed-out quantities reported for the day or previously. This progress moves the company closer to its initial deployment target of ₹278,800,000, which must be utilized within the first half of the offer period.

Buyback Offer Parameters

The buyback targets up to 1,394,000 equity shares, constituting approximately 1.24% of the total paid-up equity share capital as of August 8, 2026. The maximum buyback size is ₹697,000,000, funded entirely from free reserves and internal accruals with no borrowed funds utilized.

The company is required to utilize at least 75% of the Maximum Buyback Size, i.e., ₹522,750,000. Furthermore, at least 40% of the Buyback Size, i.e., ₹278,800,000, must be deployed within the initial half of the Offer Period. The buyback offer is expected to open on or before August 14, 2026, and close no later than November 20, 2026, being sixty-six Working Days from the opening date.

Premium and Market Context

The Maximum Buyback Price of ₹500 carries a substantial premium over recent market benchmarks. On August 8, 2026, the closing market price was ₹324.40 on BSE and ₹324.35 on NSE.

This premium reflects management’s confidence in the intrinsic value of the shares and serves as a strong signal to investors regarding the company’s financial health and future prospects.

Capital Structure Impact

If the full Maximum Buyback Size is utilized at the Maximum Buyback Price, the issued, subscribed, and paid-up capital will reduce from 111,976,150 shares to 110,582,150 shares. Promoters and persons in control are excluded from participating in the buyback; their shares will remain frozen at the ISIN level from August 8, 2026, until the buyback closes.

Financial Health and Rationale

The buyback is underpinned by strong financial performance. For Q1 FY27 (ended June 30, 2026), the company reported Revenue from Operations of ₹1,158.57 million and Profit After Tax of ₹223.46 million. In FY2026, Revenue from Operations stood at ₹4,527.66 million with a PAT of ₹1,318.06 million.

The Board confirmed that the company has no subsisting defaults in repayment of deposits, debentures, preference shares, dividends, or term loans. A cash escrow of ₹174,250,000 (25% of Maximum Buyback Size) has been deposited with HDFC Bank Limited. Emkay Global Financial Services Limited serves as the Manager to the Buyback, while MUFG Intime India Private Limited is the Registrar. The process complies with Regulation 5(vii) of the SEBI (Buy-back of Securities) Regulations, 2018, and relevant provisions of the Companies Act, 2013.