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What is the difference between "Redemption" and "Buy back" of shares?

Girinath A

CA Inter

★ 765

09-Nov-23 20:29

295

Answers (6)

Synonyms 😅

SAI AKASH GORU

CA Inter

★ 745

09-Nov-23 20:41

Jokes apart 😝 We can't redeem equity So we ourselves buyback And indirectly it's redemption (decrease of ESC)

SAI AKASH GORU

CA Inter

★ 745

09-Nov-23 20:43

SAI AKASH GORU

Jokes apart 😝 We can't redeem equity So we ourselves buyback And indirectly it's redemption (decrease of ESC)

(Updated)

Anything that has a fixed / finite Maturity (Pref shares, Debentures) or an option of finite life (bonds with call options) can be redeemed. Theoretically one buy back both fixed life and non fixed life instruments .

Sriram Somayajula

Admin

10-Nov-23 05:26

redemption is when a company buys back its shares directly from the Shareholders, however BB also known as shares are repurchase is when a company buys its own shares from the open mkt

Balachandar S

CA Inter

★ 59K+

10-Nov-23 07:24

Balachandar S

redemption is when a company buys back its shares directly from the Shareholders, however BB also known as shares are repurchase is when a company buys its own shares from the open mkt

Buy back can happen from both open market as well as existing shareholders

Sriram Somayajula

Admin

10-Nov-23 12:23

Sriram Somayajula Admin

Buy back can happen from both open market as well as existing shareholders

Ok sir got it 👍

Balachandar S

CA Inter

★ 59K+

10-Nov-23 12:31