MEANING OF M&A

Anacquisitionis the purchase of one business or company by

another company or other business entity.Consolidationoccurs
whentwocompaniescombinetogethertoformanewenterprise
altogether, and neither of the previous companies survives
independently.

Amergerreferstocombinationoftwoormorecompaniesinto
one company. Due to merger only one company survives and
other company ceases to exist. The merger takes place for a
consideration,whichtheacquiringcompanypayseitherincash
orbyofferingitsshares.
TECH MAHINDRA & SATYAM
COMBINED STRATEGY
Leverage Innovate:
DeliveryExcellence
ExistingClients
Platform
ExistingOfferings
Enhance
Acquire JointOfferings
Inorganic Alliance&Partnerships
NewLogos
 KEY DETAILS OF MERGER
Mergerratioof2sharesofTechMahindra(facevalueofRs.
10 each), for every 17 shares of Mahindra Satyam (face
valueofRs.2each)isapprovedbyboththeboards

Rest of the shareholding held in Mahindra Satyam to be

cancelled

Tech Mahindra to issue 10.34 crore shares to Mahindra

Satyamshareholders

IncreaseinequitybasetoRs230.8crore
 GROWTH PROSPECTUS
The merger will reduce Tech Mahindra's exposure to the
telecom sector to 47% by adding other verticals such as
manufacturing,media,entertainment,andretail.Inaddition,
the share of BT, its biggest client will reduce to 17% of
revenuefromover35%.

Employeerationalizationwillbeanotherbenefitofthe
merger.Thecombinedentitywillhaveover75,000
employeeswithafocusonappointmentofasignificant
numberoffresher's.

TechMahindraisalsoseeingrenewedtractioninitscore
telecomserviceofferingsinregionsincludingAustralia,
NewZealand,andAsia.
 CONCULSION
Thus, here I conclude My Topic that Tech Mahindra brings a
strong experience in the telecom sector. With both firms
complimntingeachother,postmergerthisjointentitywillhave
asignificantintheenterprisebusinessandtelecomdomain.
The merger will create 75,000 plus workforce, over 350 active
clients and approximate revenues of $2.4 billion via new
offshoreservices.Themanagementexpectsabalancedrevenue
with a diversified global footprint and contributions -- 42 per
centsharefromAmericas,35percentfromEuropeand23per
cent from the Emerging markets. According to the, company
wassuccessfulinbringingback20oldcustomersduringthepast
fourquarters,whohadmovedoutafterthescamsurfaced.Also
employees' confidence is very positive and good now after the
merger.