“We have fulfilled the commitment made in 2009, when we acquired Satyam, to jointly become one of the largest, diversified players leveraging technology for business solutions," Mahindra and Mahindra Ltd chairman Anand Mahindra said in a statement on 25 June.
In 2009, the biggest challenge facing Satyam’s new management was restoring the confidence of investors, clients and employees—with many of the latter two leaving the tainted organization.
It helped that Mahindra and Mahindra is one of India’s largest companies and is led by Anand Mahindra.
The new management reached out to some of the employees who had left the organization in the wake of the accounting scandal. Many of them rejoined, confident that the new management will be able to rebuild the company.
In the meantime, Mahindra Satyam’s top management, including Anand Mahindra, was engaged in constant dialogue with its top clients to prevent them from deserting the company and get more orders.
Mahindra Satyam’s financials started improving. The company then leveraged its relationships with companies such as General Electric Co., AT&T Inc. and Cisco Systems Inc. to get new business, requesting them to put in a good word on their behalf.
The merger will help Tech Mahindra in burying the stigma attached to the Satyam brand that has haunted the company ever since Raju confessed to committing fraud. It also gives the combined entity a stronger balance sheet and a larger client base which it can leverage to win new business.
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