Infosys Announces Largest-Ever Buyback: ₹18,000 Cr at ₹1,800 Per Share

Infosys, India’s second-largest IT services company, has announced its biggest-ever share buyback, sending its stock higher in recent sessions. The company will repurchase shares worth ₹18,000 crore, marking a strong signal of confidence at a time when the stock has underperformed in 2025.

What Happened

Infosys’ board, in its meeting on September 11, 2025, approved a plan to buy back up to 10 crore shares, representing around 2.4% of its equity capital.

This is the largest buyback in Infosys’ history, far bigger than its last one in 2022, when it repurchased shares worth ₹9,300 crore.

The market welcomed the announcement:

• On September 9, 2025, Infosys shares surged 5% when news broke that the board would consider a buyback.
• On the day of approval, the stock rose 1%+, extending its recent gains.

Buyback Price

• Infosys will repurchase shares at ₹1,800 per share, offering a 19% premium over the stock’s closing price of ₹1,510 on September 11, 2025.
• This premium makes it attractive for shareholders, especially those looking for near-term gains.

Buyback Date and Process

• The buyback isn’t automatic. It requires shareholder approval through a special resolution via postal ballot and e-voting.
• Once approved, Infosys will announce a record date. Only shareholders who own shares in their demat accounts as of that date will be eligible.
• The process typically takes 3-4 months to complete.

How the Buyback Works

Infosys will use the tender offer method:

1. Eligible shareholders can inform their broker how many shares they want to sell at ₹1,800 per share.
2. If the buyback receives more shares than required, Infosys will accept them on a pro-rata basis.
3. Once completed, shareholders get money directly into their bank account, and the tendered shares are removed from their demat account.

Why This Buyback Matters

Infosys’ stock has struggled this year, falling nearly 20% since January 2025, before buyback news, even as the broader IT index also remained weak.Despite this, the company continues to be financially solid, with reserves of ₹93,745 crore as of FY25. The latest buyback move is significant: it supports the share price during a difficult phase, boosts EPS and RoE by reducing outstanding shares, and sends a strong signal of management’s confidence in long-term growth. This comes at a time when the industry is facing global headwinds, including US tariffs, cautious client spending, and geopolitical uncertainty.

Market Impact and Analyst Take

• Infosys shares have gained over 5% in the last five trading sessions, supported by the buyback news.
• Analysts say the buyback provides stability to investors while also boosting sentiment in other IT stocks.
• The timing is key, announcing a large buyback during a downturn is seen as a vote of confidence from management.

Why Companies Do Buybacks

• When companies have extra cash, they can choose between investing, paying dividends, or buying back shares.
• A buyback reduces the total share count, meaning each remaining share represents a larger slice of profits.
• For shareholders who participate, it provides an immediate premium payout.
• For those who stay invested, it often improves valuations and ownership value.
• Infosys’ move shows that it believes the stock is undervalued and wants to directly reward investors.

What’s Ahead

• Final shareholder approval is still pending.
• If approved, Infosys will set a record date, after which investors holding shares will be eligible to participate.
• The entire process should take around 3-4 months.

Bottom Line

Infosys’ ₹18,000 crore buyback, the biggest in its history, comes at a crucial time. After a sharp decline in 2025, this move not only supports the stock but also reassures investors of the company’s strength and capital discipline.

For shareholders, this is both an opportunity to sell shares at a premium and a signal of long-term value creation from one of India’s most trusted IT names.

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