Spice out of Satyam race for now

Spice out of Satyam race for now

Bangalore: Spice Group, a potential suitor for fraud-hit Satyam Computer Services, will not proceed with its bid for now as it has not got the desired level of transparency, an official said on Friday.

Spice has been asking for an open bidding process and wants the name of other bidders for a 51% stake in the outsourcing firm to be made public.

“We are withdrawing. But if they consider our request for following an open auction process, then we won’t mind being part of the bid process again," Preeti Malhotra, executive director at Spice Innovative Technologies, a Spice Group unit, told Reuters.

Satyam is looking for a buyer to help restore confidence among its investors and customers, after the business software company’s founder and chairman quit in early January, saying profits had been overstated and assets falsified.

The company’s government-appointed board has said it hopes to finalize a buyer by 30 April. Other interested parties include India’s Larsen & Toubro and Tech Mahindra.

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