BackTech Mahindra falls as merger with Mahindra Satyam delayed
Tech Mahindra extends merger with Mahindra Satyam by six months
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Mumbai: Shares of Tech Mahindra Ltd on Tuesday fell by as much as 3% in the morning trade following delay in the proposed merger of Mahindra Satyam with itself by six months.
The shares later recovered to close down 0.75% at ₹ 1,038 in Mumbai, while the Sensex gained 0.12% to close at 18,704.53 points.
At the National Stock Exchange (NSE), the stock went down by 2.92% to ₹ 1,015.25. Similarly, shares of Mahindra Satyam (Satyam Computer Services Ltd) also fell by 2.81% to ₹ 121.90. Tech Mahindra had on Monday said it has extended the proposed merger of Mahindra Satyam with itself for six months.
“Board of directors extended the validity of the (amalgamation) scheme by a further period of six months i.e. up to 30 September 2013," the company had said in a BSE filing.
The board has extended “scheme of amalgamation and arrangement of Venturbay Consultants Pvt Ltd and Satyam Computer Services Ltd and C&S Systems Technologies Pvt Ltd and Mahindra Logisoft Business Solutions Ltd and CanvasM Technologies Ltd with Tech Mahindra Ltd and their respective shareholders and creditors", it had said.
Tech Mahindra took over reins of the scam-tainted Satyam Computer in April 2009 and rebranded it as Mahindra Satyam.
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