JOIN US Finally, the scam-tainted Satyam Computer Services may go in for merger with Tech Mahindra, an IT services provider from Rs 5,000 crore Mahindra Group, as the boards of both companies will meet on Wednesday to deliberate on the process.
Mahindra Group purchased Satyam in a government-sponsored sale in 2009. Through this merger, the Group seeks to create a consolidated IT services powerhouse, which at present provide software services to clients mostly in the United States and Europe.
The two companies will also consider the amalgamation of some of their wholly-owned subsidiaries such as Venturbay Consultants Private Ltd, C&S System Technologies Private Ltd, CanvasM Technologies Ltd and Mahindra Logisoft Business Solutions Ltd. said.
Satyam, now re-branded Mahindra Satyam, reported a better-than-expected fiscal third-quarter profit on February 1. Satyam shares rose 4.7 per cent to close at Rs 74.15 on BSE, while Tech Mahindra scrip added 4.9 per cent at Rs 648.7.