Infosys Limited – Are we getting a discount or no?

Sir,
I agree with the view that it is not in Interest of existing Investors to Buyback at a Higher Price. My understanding is that the management is doing this buyback to satisfy PE Investors who demand that the company give performance in their private management interaction.

In the larger context of 2 issues plaguing the Co. i.e. Mr. R and racial discrimination case in US. The management need not answer the uncomfortable questions and can simply deflect attention to Buyback. For shareholders making money is the most important thing. In the longer term it is simply favouring the outgoing investors, rather than adding value to all the investors.

This also shows lack of creativity of management. It should have saved the cash kitty to buy companies adding value in the downturn if at all it is realised.