Tanla Platforms Share Price Jumps Over 7% After ₹175 Crore Buyback Approval

Tanla Platforms Share Price Jumps Over 7% After ₹175 Crore Buyback Approval

Market Performance

Tanla Platform share price saw a sharp surge in Tuesday's trading session.

The stock rallied 7.6% to reach ₹707 per share on the NSE following a major corporate announcement.

Despite being under pressure for much of 2025, the stock has now registered a 3% year-to-date rise. This comes while benchmark indices have advanced over 5% in the same period.

Main News

The rally in Tanla Platform share price was triggered after the board of India's leading CPaaS provider approved a buyback proposal worth ₹175 Crore.

Key Highlights of the Buyback:

  • Buyback Value: ₹175 Crore
  • Buyback Price: ₹875 per share
  • Premium: ~33% above the previous close of ₹657.15
  • Total Shares: Up to 20 lakh equity shares
  • Stake Impact: ~1.49% of total equity
  • Buyback Route: Tender offer
  • Shareholder Approval: Via postal ballot and e-voting

The buyback reflects 24.81% of paid-up capital and free reserves (standalone basis) and 7.78% (consolidated basis) as per FY25 financials.

Company Details

Tanla Platforms is India's largest Communications Platform as a Service (CPaaS) player. The company has previously conducted two major buybacks:

  • 2020: ₹154 Crore at ₹1,200 per share
  • 2022: ₹170 Crore at ₹1,200 per share

Shareholding Pattern (As of March 2025):

  • Promoter & Group: 44.14%
  • General Public: 44.5%
  • Foreign Institutional Investors (FIIs): 10.4%
  • Domestic Institutional Investors (DIIs): 0.8%

Tanla's market cap stood at ₹9,288.6 Crore as of March 17, 2025. The current buyback represents nearly 2% of total market value.

Financial Snapshot

Revenue

  • ₹1,024.4 Crore (up 1.9%)
  • Previous Year: ₹1,005.5 Crore

EBITDA

  • ₹163.4 Crore (up 1.9%)
  • EBITDA Margin: 16% (unchanged YoY)

Net Profit

  • ₹117.3 Crore, down 9.9%
  • Previous Year: ₹130.2 Crore

Long-Term Stock Performance

While the stock has seen muted movement in 2025, its long-term returns remain remarkable:

  • From ₹62 to ₹691 – a growth of over 1,000%
  • 10-year return: A staggering 4,506%

Summary

Tanla Platform's share price surged over 7.5% after the company approved a significant ₹175 Crore share buyback. The move, priced at a premium, has renewed investor interest in the stock. Despite a slight dip in net profits, Tanla reported stable revenues and EBITDA for the March quarter. The buyback contributes to the company's history of returning value to shareholders and has had a positive impact on market sentiment.

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