Uday Reddy, CEO of Tanla Platforms, on Friday, said that the board has approved a buyback of Rs 65 crore this year.

Tanla Platforms, previously known as Tanla Solutions Ltd, is a cloud communications company, reported a good set of earnings for the June-ended quarter with revenue up 37.5 percent and margins expanding by 280 bps.

Speaking in an interview with CNBC-TV18, Reddy said, “We have a very strong cash balance and we want to return some of the cash to our shareholders. We announced 2 dividends and buyback last year. Our board has approved an open market buyback of Rs 65 crore this year. Given our multiples, where we are right now, we believe that open market buyback is the most efficient way of returning the cash to shareholders.”

“Rs 65 crore is one option and another option is of Rs 165 crore; Rs 165 crore option takes almost 3-4 months to consummate the transaction, but if we go by Rs 65 crore option then we should be able to finish the buyback in the next 45 days to come,” he said.

For the entire management interview, watch the video

(Edited by : Abhishek Jha)