Tanla Platforms share price rallies over 7.5% after board approves ₹175 crore buyback

Tanla Platforms share price in focus today: Tanla Platforms, India’s largest CPaaS (Communications Platform as a Service) provider, saw its shares surge 7.6% to ₹707 apiece in Tuesday’s trade after the company’s board of directors approved buyback proposal worth up to ₹175 crore.

In an exchange filing on Monday, the company informed investors that the board had approved the repurchase of up to 20 lakh fully paid-up equity shares, representing approximately 1.49% of its total equity capital, at ₹875 per share. This price represents a 33% premium over Monday’s closing price of ₹657.15 on the NSE.

The buyback represents 24.81% and 7.78% of the aggregate paid-up capital and free reserves based on the company’s latest standalone and consolidated audited financial statements for the year ended March 31, 2025, respectively.

The buyback will be conducted on a proportionate basis among all eligible shareholders and beneficial owners as of the record date, which is yet to be announced. The company will seek shareholder approval for the buyback through remote e-voting and a postal ballot to pass a special resolution.

Tanla last initiated a similar buyback in 2020, returning ₹154 crore to shareholders at ₹1,200 per share. This was followed by a ₹170 crore buyback in 2022, again at the same price of ₹1,200 per share.

As of the March 2025 quarter, promoters and the promoter group collectively held a 44.14% stake in the company. General public shareholders owned 44.5%, while foreign and domestic institutional investors held 10.4% and 0.8%, respectively.

With a market capitalization of ₹9,288.6 crore as of June 17, the current buyback represents about 2% of the company's total market value. Notably, the buyback will be executed through the tender offer route.

For the March ending quarter, Tanla Platforms reported a 9.9% decline in net profit to ₹117.3 crore, compared to ₹130.2 crore in the same quarter of the previous fiscal year. Revenue rose 1.9% to ₹1,024.4 crore from ₹1,005.5 crore a year ago. EBITDA also grew 1.9% to ₹163.4 crore, with EBITDA margin holding steady at 16%.

Tanla Platforms share price trend

Tanla Platforms’ share price has been under pressure in 2025 so far. Although it has recovered from lower levels, it is up only 3% year-to-date, underperforming frontline indices, which have gained over 5% in the same period.

However, over the long term, the stock has delivered impressive returns—rising from ₹62 to ₹707, a gain of nearly 1040%. Over the past decade, it has surged 4506%.

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