Satyam to consider buyback of shares on 29 Dec

Satyam to consider buyback of shares on 29 Dec

Mumbai: IT major Satyam Computer Services on Thursday said its board will meet on 29 December to consider a share buyback proposal.

“A meeting of the board of directors of the company will be held on December 29, 2008, to consider the proposal for buyback of shares of the company," Satyam said in a regulatory filing to the stock exchanges.

The company’s move to mollify shareholders comes after it raised investor ire on its proposed $1.6-billion acquisition deal, which had to be called off.

After suffering a severe battering on Wednesday, Satyam shares surged 13.88% to an intra-day high of Rs180 on Thursday on the Bombay Stock Exchange.

It was later trading at Rs172.75, up 9.30% on the BSE in the late afternoon trade.

On Wednesday, the scrip had plunged as much as 30% to close at Rs158.05 after touching its 52-week low.

The company on Tuesday had announced a $1.6-billion deal to acquire Maytas Properties and Maytas Infrastructure - companies run by Satyam chief Ramalinga Raju’s sons B Rama Raju and Teja Raju.

However, investors’ opposition had forced Satyam to call off the deal just a day later.