Shares repurchase has become an increasingly common emerging instrument of corporate payout policy around the world. In fact, significant 'announcement effects' have been reported upon their announcements. Apart from the instant market reaction, it is necessary to understand the fundamental and the psychological factors behind the shares repurchase announcements. Hence, it becomes imperative to understand the driving forces behind and the motivations/ perceptions of the management announcing these decisions. The literature review indicates that, in India, no comprehensive survey has been undertaken in the past on the managerial views and motives subsequent to shares repurchase in Indian context. This paper is a modest attempt to fill these research gaps, amongst others. The objective of the paper is to gauge/understand the viewpoint of the Indian finance managers (of BSE 500 index firms) in respect of the announcement of shares repurchase using a survey approach (structured questionnaire). A substantial majority of the Indian finance managers believe that shares repurchase enables investors to express confidence in the firm and is an attractive means of obtaining a sound capital structure. They strongly support the undervaluation hypothesis as the shares repurchase are considered the 'news bulletin' of the conviction of the management regarding the undervaluation of shares.