Tech Mahindra receives Company Law Board approval
Hyderabad, 16 April 2009: Satyam Computer Services Ltd. (NYSE: SAY;
BSE: SATYAM; NSE: SATYAMCOMP) (the "Company"), announced today
that the Hon’ble Company Law Board had passed an order dated April 16, 2009
approving the selection of Venturbay Consultants Private Limited, a subsidiary
controlled by Tech Mahindra Limited (“Tech Mahindra”), as the successful
bidder to acquire a controlling stake in the Company.
Accordingly, the Company will issue and allot to
Tech Mahindra 30,27,64,327 (Thirty Crores Twenty Seven Lakhs Sixty Four
Thousand Three Hundred and Twenty Seven Only) shares of the Company ("Initial Shares"), representing
thirty one percent (31%) of the share capital of the Company after giving effect
to the issuance of the Initial Shares ("Enhanced Share Capital"), upon (x) deposit by Tech Mahindra of
the subscription amount of Rs. 1,756 Crores (approximately US$ 351 million
based on an exchange rate of Rs. 50 to US$1) by 21, April 2009 and the requisite
escrow amounts for the mandatory cash tender offer to acquire an additional
minimum 20% of the Enhanced Share Capital and convertible instruments ("Public Offer") in accordance with
the SEBI (Substantial Acquisition of Shares and
Takeovers) Regulations, 1997 (collectively, the “Total Acquisition Funds”), in separate escrow accounts on or
before April 21, 2009 and (y) fulfillment of certain closing conditions and
obtaining the required regulatory approvals, including approval from the
Securities Exchange Board of India.
