Larsen & Toubro board on Thursday approved the proposal to buy back six crore shares amounting to Rs 9,000 crore to reward its shareholders.

In a stock exchange filing, Larsen & Toubro (L&T) said its board has approved the proposal to buy back six crore shares at a maximum price of Rs 1,500 apiece.

The buyback price is at over 13 per cent premium to Tuesday's closing price of Rs 1,322.15 per share.

This is L&T's first-ever share buyback proposal. The buyback size is 4.29 per cent of paid-up equity capital of the company.

This year, boards of many IT firms including TCS, HCL Technologies and Mphasis have approved proposals to buy back shares.

Shares of L&T were trading two percent higher at Rs 1,348.65 on BSE.

First Published:Aug 23, 2018 12:18 PM IST