Summary: Infosys shares rallied over 4% on October 23, 2025, after its promoters chose not to participate in the ₹18,000 crore share buyback.
The Indian equity benchmark indices opened Thursday’s session on a positive note, with a strong gap-up start that gathered further momentum as the day progressed. The Nifty 50 index moved closer to the 26,100 mark by 10:17 AM on October 23, 2025, with all sectoral indices trading in green.
Among the sectors, Nifty IT led the rally with a rise of 2.70%. Infosys was the standout performer, registering gains of over 4% and marking its biggest intraday jump in more than a month. The stock alone contributed 51 points to the Nifty 50 index by mid-morning.
The surge in Infosys’ share price followed news that the company’s promoters, including founders Narayana Murthy and chairman Nandan Nilekani, have decided not to participate in the company’s buyback programme announced in September.
The board had approved a buyback of 100 million fully paid-up equity shares with a face value of ₹5 each, at a price of ₹1,800 per share. This represents a total outlay of ₹18,000 crore and up to 2.41% of the total paid-up equity capital on a standalone basis.
According to the company’s exchange filing, the buyback will be carried out through the tender offer route, and the record date for shareholder eligibility is yet to be announced. Infosys stated in a regulatory filing that the promoters’ decision not to participate means their holdings will not be included when calculating the entitlement ratio for the buyback.
This decision has been viewed positively by the market, as it signals the promoters’ long-term confidence in the company’s prospects.
This marks Infosys’ fifth share buyback in the past ten years, underscoring its commitment to returning value to shareholders. The company last conducted a buyback in 2022 through the open market route.
Infosys’ recent financial performance, during the quarter ended September 2025 (Q2FY26), the company reported a 13.2% year-on-year increase in net profit to ₹7,364 crore. The growth was supported by a robust pipeline of large deals and steady demand across key verticals.
Revenue for the quarter rose 8.6% year-on-year to ₹44,490 crore, primarily driven by the financial services and manufacturing segments. The total contract value (TCV) of large deals signed during the quarter stood at $3.1 billion, reflecting a 29% growth over the previous year.
Segment-wise, financial services and manufacturing reported growth of 5.4% and 6.6% respectively, while the retail vertical recorded a decline of 2.3%.
In addition to its strong results and the buyback announcement, Infosys declared an interim dividend of ₹23 per equity share. The company has fixed October 27, 2025, as the record date, and the dividend will be paid on November 7, 2025.
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