CORPORATE SELF-GOVERNMENT IN PRACTICE: LEGAL AND ADMINISTRATIVE DETERMINANTS OF SHARE BUYBACK DECISIONS IN INDIA

Abstract

This study examines share buybacks—a method of capital reduction wherein companies repurchase their shares from shareholders or the open market. Particularly, factors affecting buy back size have been analysed using multiple regression and quantile regression on 271 buybacks by Indian firms listed on BSE during the period: 1999–2000 to 2022–2023. Results reveal that method of buyback, price-to-book ratio, reserves and surplus, and time dummies significantly impact buyback size. Through quantile regression, the study highlights how corporate self-governance, politics of capital allocation, and administrative decisions shape buyback magnitude across firms.