Satyam board meets as bid interest deadline nears

Satyam board meets as bid interest deadline nears
PTI
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First Published: Fri, Mar 20 2009. 02 23 PM IST
Updated: Fri, Mar 20 2009. 02 23 PM IST
Bangalore: The board of Satyam Computer Services Ltd began a meeting on Friday as the deadline neared for suitors to submit their expressions of interest in acquiring a majority stake in the fraud-hit Indian outsourcer.
Potential bidders must submit a detailed expression of interest and have available at least Rs15 billion ($300 million) by 5pm.
A Satyam spokeswoman declined to comment on the agenda of the board meeting, but analysts said the board was likely to review the details of potential buyers.
Indian engineering firm Larsen & Toubro, IT services firm Tech Mahindra, diversified Spice Group and US outsourcer iGate Corp all said they had registered as potential bidders.
Read full coverage of Satyam Fiasco
Spice Group Chairman B K Modi told Reuters the company would submit its expression of interest by Friday afternoon, and a Larsen spokesman said the company was also expected to do so later in the day.
Officials at iGate and Tech Mahindra could not be immediately reached.
New York-listed Satyam has been struggling since founder and Chairman Ramalinga Raju shocked investors in January, saying profits had been overstated for years and assets falsified in what has become India’s biggest corporate scandal.
The new government-appointed board is keen to bring in an investor to restore confidence among its roughly 50,000-strong staff and more than 600 customers, which include General Electric and Qantas Airways.
Satyam said last week Indian and foreign firms, including private equity companies, had registered to bid for a 51% stake but gave no details of names or number.
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First Published: Fri, Mar 20 2009. 02 23 PM IST