1... 2... 3 and sold

Satyam Computer today went under the hammer for Rs 58 a share — about one-tenth of the level the IT company enjoyed about a year ago, when no one had any inkling about the scam being perpetuated there. L&T’s offer was at a distant second at Rs 45.90 and Cognizant-Wilbur Ross offer was at Rs 20 per share. Shares of Satyam opened on a positive note at Rs 49 and surged 16.43 per cent to touch a high of Rs 54.90 on the BSE. On the National Stock Exchange, scrip soared 19 per cent to Rs 56 before closing 3.1 per cent higher at Rs 48.75. Tech Mahindra is required to deposit the initial subscription amount and the requisite escrow amounts for the public offer on or before April 21, 2009. If Tech Mahindra desires to take control of the affairs of the company simultaneously with the preferential allotment, it will be required to deposit in escrow the total funds necessary to consummate the public offer.

We will reach out to Satyam clients, says mahindra

Tech Mahindra chairman Anand Mahindra on Monday maintained that he would personally reach out to top brass of Satyam clients Citigroup, General Motors and Cisco to restore customer confidence. Though Tech Mahindra was the highest bidder, Company Law Board's approval was still awaited. "We hope to be the winning bidder once the CLB will clear the bid. We have taken on a challenge and we are going to make it work," Mahindra said at a press conference. Tech Mahindra played the bid well, being most publicly reluctant to commit and continually expressed worries over Satyam's liabilities. “We have taken on a challenge and we are going to make it work,” Mahindra said. He also thanked Satyam’s clients for staying on with the company. "Tech Mahindra has cash available through internal generation of more than Rs 700 crore. We have the ability to raise debt at the SPV level and at the Tech Mahindra level," said M&M CFO Bharat Doshi.

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