Garware Technical Fibres Limited has approved a proposal to buy back up to 16,17,500 fully paid-up equity shares from its eligible shareholders. The offer, which represents 1.63% of the company's total paid-up equity share capital, will be conducted through a tender offer process at a price of ₹680 per equity share. The aggregate maximum amount for the buyback is ₹110 crore, excluding transaction costs.

The Board of Directors approved the buyback at its meeting held on May 8, 2026. The offer is being undertaken to return surplus cash to shareholders and enhance overall shareholder value. The buyback size represents 9.46% and 9.35% of the aggregate of the company’s fully paid-up equity capital and free reserves as per the latest standalone and consolidated audited financial statements as on March 31, 2025, respectively. This is within the statutory limit of 25% of the aggregate of the paid-up capital and free reserves.

Buyback Schedule

The company has established the following schedule for the buyback activities:

Entitlement Ratios

The buyback is divided into two categories: the Reserved Category for Small Shareholders and the General Category for all other eligible shareholders. The entitlement ratios for the buyback are as follows:

Small Shareholders are defined as those holding equity shares with a market value of not more than ₹2,00,000 on the Record Date. The promoters and members of the promoter group have expressed their intention not to participate in the buyback.

Financial Arrangements

The funds required for the buyback will be sourced from the company's free reserves, including the securities premium account. The company has confirmed that it will not utilize borrowed funds for this purpose. An escrow account has been opened with HDFC Bank Limited, and the company has deposited ₹25,99,90,000 in cash as security for the performance of its obligations under the buyback regulations.

MUFG Intime India Private Limited has been appointed as the Registrar to the Buyback, while Ambit Private Limited will act as the Manager to the Buyback. Eligible shareholders can tender their shares through the stock exchange mechanism using the acquisition window provided by BSE.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE276A01018/11b12d5ca0ec43cf.pdf

Garware Technical Fibres reported a decline in its consolidated net profit for the quarter and year ended March 31, 2026. The company's bottom line for Q4 FY26 stood at 572.55 million rupees, down from 710.82 million rupees in the corresponding quarter of the previous year. Revenue from operations for the quarter decreased to 4.26 billion rupees compared to 4.33 billion rupees in the year-ago period.

Financial Performance Overview

The company's operating profitability also moderated during the quarter. Consolidated EBITDA declined to 962.38 million rupees from 983.00 million rupees on a year-on-year basis. The EBITDA margin contracted slightly to 22.57% from 22.72% in the same quarter last year. For the full fiscal year 2025-26, revenue from operations was 152.88 billion rupees, while net profit for the period attributable to owners of the parent was 1.99 billion rupees.

Management Commentary

Management noted that overall business performance returned to track in H2'FY26, with order flows from the Salmon aquaculture business and the U.S. market fully normalizing in the last quarter. However, production and shipments were affected by the Middle East conflict that began in March 2026, resulting in a significant increase in goods in transit. The company also experienced an unprecedented increase in raw material prices in March 2026, which delayed domestic dealer offtake. Despite these challenges, the Geo-synthetics business continued its excellent growth momentum on profitability and ROCE.

Board Decisions and Dividend

The Board of Directors has recommended a final dividend of Rs. 1 per share (10%) for the financial year 2025-26. This is in addition to the interim dividend of Rs. 8 per share (80%) already declared during the year. The total dividend outgo for the year, subject to shareholder approval at the Annual General Meeting, will be Rs. 9,92,65,845.

Additionally, the Board approved the re-appointment of Mr. V. R. Garware as Chairman and Managing Director for a further period of five years effective from December 1, 2026. The re-appointment of Dr. Shridhar Shrikrishna Rajpathak as a Non-Executive Independent Director for a second term of five years was also approved. Ms. Poonam Gupta was appointed as the Chief Human Resource Officer with effect from May 20, 2026.