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from India: A billion aspirations:
Dark horse Tech Mahindra wins race to acquire Satyam
Tech Mahindra, part of Indian business group Mahindra & Mahindra, won the race to acquire Satyam Computer Services on Monday, in a deal that'll help the mid-sized outsourcer gain in size and also lift clarity on Satyam's fate.
In a race that saw only a handful of bidders, Tech Mahindra beat rivals such as engineering conglomerate Larsen & Toubro and U.S.-listed Cognizant Technologies. Tech Mahindra agreed to buy a 31 percent stake in Satyam at 58 rupees, a 23 percent premium to Satyam’s last closing price.
(Click here to watch a Reuters Insight video)
Tech Mahindra, established more than 20 years ago as a joint venture between Mahindra & Mahindra and British Telecom, faces the daunting task of reshaping Satyam, a company at the heart of India's biggest corporate scandal.
from India: A billion aspirations:
Fraud-hit Satyam pins hopes on shaky white knights
Three months after its founder Ramalinga Raju shocked markets by disclosing India’s biggest corporate scandal, Satyam Computer Services is desperately pinning its survival hopes on its auction set for April 13.
But only a handful of bidders are in the race due to lack of clarity over Satyam’s accounts and potential legal liabilities from U.S. lawsuits. Even if the company manages to find a buyer for a 51 percent stake, it’ll take a long time to instill confidence among employees already jumping shipand nervous clients.
What about the role of the government, whose appointed-board is due to choose the buyer the same week the country heads for national elections? Will the government remove its handpicked board or continue to keep a watchful eye on any new strategy chalked out by the new buyer?
Some finance industry players point out the similarity between Satyam’s deal and the deal for top Chinese electronics retailer GOME. The Chinese company is in talks with potential investors, while its founder and ex-chairman is under potential police investigation. There is a lot of uncertainty about both deals and government support, temporary or long-term, is key to shoring up both high-profile firms.
Hanmi
Agree with you, YSRajasekhar Reddys congress and before that TDP have allowed Raju brothers to doctor books and to venture into real estate business by flouting the law and in the bargain collected multiple crores for themselves.
If congress is oozing crores of rupees today and ready to spend the illegal money for election victory then the very democratic credentials of the country should be questioned. Last week, Rajasekhar reddys son in law, brother anil, was arrested for using andhra churches for election propaganda and also for distributing money in churches. Where is the sanity whats judiciary doing, is the law enforcement sleeping or is it in denial.
As for satyam,it will limp back to life and takes sometime to bounce back to previous glory. Cutting costs is of paramount immediate strategy.
An act of God?
(UPDATE’S third paragraph to clarify the irony in Weinstein’s Ethics Czar reference).
Force Majeure is standard language in finance contracts, specifically debt paperwork. If you are building a pipeline across the San Andreas fault line and the earth moves, the risk that the hand of god has made it impossible for you to pay your debts is kind of a default valve absolving you from having to honor your contract. Is that what is happening with AIG? Those who argue contracts can (and, more alarmingly, should) be easily broken often cite Force Majeure as an example. But one might be hard pressed to find an example of a more man-made catastrophe than the seemingly crazy, but once pretty much standard contracts at AIG’s Financial Products divisions.
Later this morning, AIG’s CEO Edward Lilly is scheduled to strap into the Capitol Hill hotseat, where he is likely to face several fire hoses of vitriol over his decision to pay bonuses. He might also face a few thorny ones about settling bad bets with counterparty banks. Though the hand of God may not have been behind AIG’s demise, Liddy will certainly need divine intervention to ensure that he can conduct anything like business as usual at the not-quite-bankrupt but mostly government-owned insurer. Such an outcome would hardly be considered righteous by the angry mob.
can the act of god be a defense in a drunk driving case where death was resulated? as was the case in my daughter who is in jail fighting a lifetime sentance for being drunk and driving and killing a person in the car with her.
from India: A billion aspirations:
Satyam — truth be damned?
If a stock dives 55 percent, is it time to go bargain hunting?
Absolutely not! At least that was the case with India's Satyam Computer Services after it shocked investors on Wednesday by disclosing most of its profits were cooked up.
The disclosure came after the company's botched attempt last month to buy two construction firms partly owned by its founders, which sent its shares diving 55 percent in one session by angry investors.
Chairman Ramalinga Raju said: "It was like riding a tiger, not knowing how to get off without being eaten."
Satyam was,is and will remain one of the TOP company no matter what happens .The SPIRIT OF SATYAM is very high, all the EMPLOYEES AND LEADERS are united and stand by Satyam and will do their BEST to come out of it.
ALL THE BEST FOR SATYAM 
from India: A billion aspirations:
It’s “all in the family” for Indian tech firm
Hold on to cash and don't jump in to help family-owned firms.
Satyam Computer Services got this stern message this week when it was forced to dump a plan to spend $1.6 billion to buy two builders, part-owned by Satyam's chairman and other insiders.
Ramalinga Raju, chairman, Satyam Computer Services is seen in his office in Hyderabad in this undated handout photograph. REUTERS/Handout
The move sent shockwaves across a country known for its trailblazing software industry, and triggered a cloud over corporate governance in India.
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There is one Proverb in English – ” Ends Well All Well”. Might be it fit for Satyam but is it really done cause of Govt efforts i defer from this view. Well In fact Govt is some how support Mr. Raju and others to do such things which leads to a debacle, So finally who get the credit for this of course its IT industry and corporate who act with will to safeguard the interest of SATYAM IT industries and Indian corporate image. Its his will power that company not sold to L&T just on basis of merit of share holding but on merit of true vision and ability to handle the business. In true sense again our corporate prove that with true determination even corruptest system can be clean and make it on track to work.
And the most admirable point which mention in one newspaper that still SATYAM web page gives you a company picture not like Lehman or Enron where u find only buried souls finding their way to salvation.