¶Tech Mahindra Takeover Satyam·

Mukesh Pratap Singh
RollNo.-MCM2009009 Course-PGDM (C) JICM

Business Definition for ¶Takeover·: ´An acquisition or gaining control of a corporation through the purchase or exchange of stock.µ .

About ¶SATYAM· .

Andhra Pradesh. 1954 (1954-0916) (age 54) Bhimavaram.Ramalinga Raju· September 16.Satyam Computer Services Ltd founded in 1987 by ¶B. India Hyderabad. India Indian former Chairman. Managing Director of Satyam Computers Born Residence Nationality Occupation Net worth Spouse(s) US$495 million (2004)[1]) Nandini .

IPO y 1993-1996 .Incorporated as a Private Limited Company y 1988-1992 .Satyam Technology Center established y 1997-2000 .Company Timeline: y 1987 .Presence in 30+ Countries y 2001-2004 .Founded Satyam BPO .

Citisoft. S&V Management Consultants. the company unveiled its new brand identity ´Mahindra Satyamµ.‡2005-2008 -Acquisition of Bridge Strategy. Knowledge Dynamics. . -In June 2009. Nitor Solutions. -30+ Global Solution centers ‡2009 -Satyam plunged into a crisis in January 2009. -In March 2009 the company announced it would begin soliciting bids from potential buyers.

Chairman Raju resigned after publicly announcing his involvement in an accounting fraud. . 2009. y 07 Jan .Controversies involving Satyam y Satyam plunged into a crisis in January 2009 after its founder. B Ramalinga Raju. y On January 7. stated that ¶the company's profits had been overstated·.Company chairman declared that the company·s profits had been overstated for several years.

‡an overstated debtors' position of Rs.361 crore reflected in the books. ‡an understated liability of Rs. .040 crore as against Rs 5. 490 crore as against Rs. ‡an accrued interest of Rs. 2. 376 crore which was non-existent.Raju confessed that Satyam's balance sheet of 30 September 2008 contained: ‡inflated figures for cash and bank balances of Rs 5.230 crore on account of funds was arranged by himself.651 crore in the books. 1.

.Satyam Acquisition: y In March 2009 the company announced it would begin soliciting bids from potential buyers.

.Companies involved in Bids: y Tech Mahindra (Mahindra Group) y Larsen & Tourbro.

y 13 April . Tech Mahindra emerged as the highest bidder to acquire a controlling stake in Satyam. .Tech Mahindra acquired majority stake in Satyam.RESULTS: y In April 2009.

58/ share on Satyam Computers.Tech Mahindra Satyam takeover approves: y Company Law Board(CLB) approves Tech Mahindra take over of The Rs. y Tech Mahindra acquiring the 31% in Satyam Computer Services Ltd for Rs. . y Tech Mahindra. sixth largest software exporter.1756 crore.

´Mahindra Satyamµ launched .Satyam Becomes Its New Brand Identity ² ´Mahindra Satyamµ ‡21 June .New brand.

Gurnani (CEO of Mahindra Satyam) .C. P.

Manoharan (independent director) C.) . y y y y y y Mahindra Group) Vineet Nayyar (Executive Vice Chairman of Tech Mahindra Limited) C.Board Members: y Anand Mahindra (Vice Chairman & Managing Director. P. Achuthan (independent director) T. Group Management Board of Mahindra & Mahindra Ltd.Yargop (President. Gurnani (CEO of Mahindra Satyam) Sanjay Kalra (CEO of Tech Mahindra Limited) Ulhas N. N. IT Sector and Member.

Chemicals & Automotive y Public Services & Education y Retail and Consumer Packaged y Telecom. Financial Services &Insurance y Energy and Utilities y Life Sciences & Healthcare y Manufacturing. Infrastructure. Media and Entertainment & Semiconductor y Travel and Logistics & Industrial Equipment .Industry Presence: Mahindra Satyam provides services in the following areas: y Aerospace and Defense y Banking.

Competencies: Mahindra Satyam offers the following ¶horizontal· services. y Extended Enterprise Solutions y Web Commerce Solutions y Business Intelligence Services y Quality Consulting y Strategic Outsourcing Services y Industry Native Solutions y BPO y Engineering Services .


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