Synopsis: Infosys has opened its biggest-ever ₹18,000-crore share buyback at ₹1,800 per share, signalling confidence in long-term growth amid a cautious global IT environment. The move aims to strengthen EPS, return surplus cash to investors, and stabilise sentiment as client spending gradually improves.

Bengaluru, November 21, 2025:

Infosys Launches Landmark ₹18,000-Crore Buyback as IT Sector Repositions for Global Recovery
Infosys Launches Landmark ₹18,000-Crore Buyback as IT Sector Repositions for Global Recovery

In a major financial move that has caught the attention of India’s technology and investor community, Infosys Ltd has opened its largest-ever ₹18,000-crore share buyback programme, signalling long-term confidence despite an uncertain global demand environment. The offer opened on Thursday and will remain active until November 26, inviting shareholders to tender shares at a premium price of ₹1,800 per share.

The buyback represents nearly 2.41% of the company’s paid-up equity capital, making it one of the most significant capital-return initiatives in the Indian IT sector this year. For India’s second-largest IT firm, the move reinforces a clear message: despite short-term global challenges, the company is well-capitalized, stable, and optimistic about future growth cycles.

The decision comes at a time when the global IT outsourcing industry is experiencing a slow but visible recovery. After nearly two years of muted discretionary spending due to geopolitical tensions, rising interest rates, and recessionary fears in key markets like the US and Europe, client conversations are becoming more active. Multiple mid-sized deals are returning, digital transformation initiatives are regaining momentum, and cost-optimization contracts continue to rise.

Market analysts suggest that the buyback will help strengthen the company’s earnings-per-share (EPS) metric, reduce outstanding shares, and provide liquidity support to investors during a period of sideways market movement. For institutional participants, the premium over the current market price adds to the attractiveness of tendering shares early.

Interestingly, this move coincides with a broader rebound in Indian IT stocks. The sector has been under pressure due to reducing margins, wage inflation, and slower deal closures. However, the last quarter has shown a marginal uptick in deal pipelines, rising interest in generative AI, and increasing offshore activity.

Industry experts believe that Infosys’ huge cash reserve—combined with controlled operating expenses and strong deal visibility—has enabled the company to confidently initiate a buyback of this scale. It also aligns with the company’s long-standing practice of periodically returning cash to shareholders through dividends and repurchases.

For India’s technology landscape, this buyback sends a positive signal at a crucial time. The IT sector employs millions, drives significant export revenue, and shapes India’s global digital leadership. A move of this size from a sector leader like Infosys reinforces industry stability and showcases the long-term resilience of India’s tech-driven growth story.

Investors will closely watch participation levels as well as potential market reaction once the offer closes. For now, this initiative stands as a strategic financial step that strengthens investor trust and marks an important chapter in Infosys’ capital allocation strategy.

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