Shares of Coal India, the country's largest miner, fell as much as 2.32 per cent to Rs 216.90, a day after its board approved a share buyback proposal. Earlier in the day, Coal India's share price was highly volatile as it swung between gains and losses. The stock rose as much as 0.4 per cent but gave up gains to trade over 2 per cent lower, as per information available on the BSE's website. (Also Read: RBI seen changing policy stance to "neutral" on Thursday)
Coal India's board of directors' approved buying back 0.72 per cent or 4.46 crore shares at Rs 235 per share worth Rs 1,050 crore, according to a regulatory filing by the company post market hours on Monday.
Coal India's board of directors has approved February 15 as the record date for the purpose of ascertaining eligibility of the shareholders to participate in the buyback.
In intraday deals during Tuesday's session, Coal India shares as of 2:18 p.m were underperforming the benchmark NSE Nifty 50 Index, which was up 0.21 per cent. Coal India was among the top three laggards on the 50-scrip index at that time, besides Tata Motors and Tata Steel.
Coal India has declined 7.5 per cent so far this calendar year compared with a gain of 0.5 per cent in the Nifty 50 index.