Following the financial fraud by Mr. Raju, Satyam was taken over by the Mahindras, who now plan to merge MSat with Tech Mahindra — a move opposed by some stakeholders
Pune-based Tech Mahindra owns close to 43 % of Satyam. It is offering one share in itself for every 8.5 shares of Satyam to absorb the company.
A date for recording the exchange is yet to be set.
The two companies had passed a merger proposal on March 21, 2012 followed by an approval from the Mumbai High Court. The Andhra Pradesh High Court paved the way for the merger on June 11, 2013.
Tech Mahindra completed the merger of its unit Satyam Computer Services with itself, making it the No. 5 Indian IT services provider
The combined company will be called Tech Mahindra, according to a company statement on Tuesday June 25,2013.The combined entity will now have employee strength of 84,000 and revenues totalling $2.7 billion.The company will cater to 540 clients across 46 countries. In India, the merged entity will operate out of 11 locations. It will have 15 overseas offices for BPO (business process outsourcing) operations and software development.
Tech Mahindra managing director CP Gurnani expects the combined entity to clock revenues of $5 billion by 2015.
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