Posted on February 19, 2009 at 4:07 PM
Filed under: Acquisitions | Corporate Strategy | Deal International
Tagged: BK Modi , Hinduja Global Solutions , Larsen & Toubro , Satyam Computer , SEBI , Securities and Exchange Board of India

[ Share ]  [ E-mail ]  [ Leave a Comment ]

Indian IT and BPO provider Satyam Computer Services Ltd. has received clearance from the Company Law Board to sell a 26% stake in the firm via an open bidding process. Goldman, Sachs & Co. and Avendus Capital Ltd. were brought on in January to find strategic investors. Satyam's $1 billion accounting fraud will make valuation a difficult task.

India's Spice Group Inc. helped create a ballpark figure, offering about 20 billion rupees ($408 million) for a controlling stake. Larsen & Toubro Group, Hinduja Global Solutions and BK Modi have expressed interest in buying the company.

A sale could move quickly. As noted by BusinessLine, last week, the Securities and Exchange Board of India eased its takeover regulations under Chapter III of the Takeover regulations. Also, to help an acquisition along, Satyam implemented cost cutting measures, including freezing capital expenses. - Baz Hiralal


Go to the Bloomberg story


Join Corporate Dealmaker's LinkedIn forum

Also From Corporate Dealmaker

• Deal Economy 2010: Morgan Stanley's Smith Barney integration
• JDA waits out storm for i2 buy
• Deal Economy 2010: Cisco's Hooper on M&A strategy
• GlobalLogic adds seasoned dealmaker
• Dell drives in IT services as PC slump deepens

Corporate Dealmaker Home Page

From TheDeal.com

• Tesla ready to drive to public market?
• Deal Economy 2010: IBM's Mendoza on using i-bankers
• Deal Economy 2010: Morgan Stanley's Smith Barney integration
• Peet's raises ante for Diedrich
• Deal Economy 2010: Cisco's Hooper on M&A strategy

TheDeal.com Home

Post a comment

Name:

Email Address:

URL:

Remember personal info?

Comments: (you may use HTML tags for style)

Please only click "Post" once. It may take a few moments to process.