The board has approved the allotment of the shares, under the employee stock options plans of the company, Satyam said in a filing to the Bombay Stock Exchange. After the allotment, the paid-up share capital of the company stood at Rs 195,35,94,874 up from Rs 195,34,44,694, the filing added.
Tech Mahindra's open offer for acquiring a controlling stake in Satyam Computer, which begins on Friday, may not be fully subscribed as shareholders will get a better price in the market with the shares of the tainted IT firm soaring over 33 per cent in the past three days.
Some top Indian information technology firms such as Tata Consultancy Services, Satyam Computer and Polaris could feel the heat if Citigroup decides to sell part of its business or look for partners to tide over its losses.Analysts feel TCS' revenue might have an impact as Citi has signed an assured revenue agreement of $2.5 billion (Rs 12,500 crore) for a period of over nine years.
Between January 2008 and February 2009, the company saw a total of 9,400 staff leave, with the highest monthly attrition of 1,602 seen in February this year. According to a disclosure of financial information of the company made to the Bombay Stock Exchange, "As of March 28, 2009, the company (standalone) had 41,622 associates."
The company had a net profit of Rs 4 crore (Rs 40 million) in January this year, Satyam said in a regulatory filing to the stock exchanges. The total income in February stood at Rs 637 crore (Rs 6.37 billion) while in January it was at Rs 647 crore (Rs 6.47 billion).
The Securities and Exchange Board of India chairman C B Bhave said punishment should be quick for the perpetrators of fraud at IT firm Satyam Computer.
Upaid has filed for damages exceeding $1 billion on charges of forgery, fraud and breach of contracts. The cases have been filed in a federal court and a state court in Texas, USA. The legal teams of UK-based Upaid and Satyam Computer Services are holding talks for an out-of-court settlement of a case filed by the UK-based mobile payment services firm. The hearing of the case is on June 1.
As per the contract, Satyam would develop a customised event management system and build extranet and intranet over the next 12 months.
The police tracked the kidnappers by tracing a ransom call that Satyanarayana's family received late in the evening
The Serious Fraud Investigation Office has referred the issue of Rs 760 crore (Rs 7.6 billion) raised by scam-tainted Satyam Computer through share sales in 2001 in the US to the Enforcement Directorate for further inquiry, after failing to trace the amount.
The Hyderabad-based company may generate about $12 million revenues during the current financial year from its South African operations against $4 million in 2006.
The company expects the division to add double-digit growth to the company's top line during the current financial year, he said.
Satyam Computer Services has signed a $71 million seven-year contract with Qantas for development and maintenance of over 150 applications across a wide portfolio of technologies.
IT firm Tech Mahindra on Monday deposited Rs 2,910 crore (Rs 29.10 billion) for 51 per cent controlling stake in Satyam Computer.
"Other than the induction of the new board members, Tech Mahindra will have discussions with the management to articulate the growth of the company, strengthen the governance part and also focus on cash-flow issues. The current management members, including CEO A S Murty, will continue for some time," said a source close to the development. Tech Mahindra members are also expected to take stock of operations at Satyam.
It alloted 6000 non-convertible debentures of face value of Rs 10 lakh
Satyam Computer has approached the Company Law Board (CLB) to seek approval for acquisition of IT firm by Tech Mahindra.
Tech Mahindra, the highest bidder for Satyam Computer Services, has tied up Rs 875 crore funding from mutual funds and insurance companies and is in talks with banks to mobilise Rs 1,000 crore bridge loans.
India's fourth largest IT firm Satyam Computer Services is likely to give pink slips to 2,500 employees. The company's share price fell 9.5 per cent to Rs 368.15 on Monday.Satyam had a total headcount of 52,000 as of June-end. The company has already put some of its employees under performance improvement plan.
The board had earlier said that the bidder will be announced on April 9.
Even as most of the 50,000-odd employees at Satyam Computer Services remain concerned about job and pay cuts, 250 to 300 employees working on the Merrill Lynch project have accepted an offer from Bank of America (BofA), the bank that bought the sub-prime meltdown-hit investment bank in September last year.
iLabs Private equity fund, a $300 million India-centric fund promoted by former COO of Satyam Computer Systems Srini Raju, has invested Rs 42 crore (over $10 million) in VSoft Corp.
CBI director Ashwani Kumar said the Satyam fraud was unique, as it was the founder, and not an outsider, who is the accused. According to sources, the fraud involves an amount that is much bigger than the Rs 7,800 crore (Rs 78 billion) estimated originally. It could be close to Rs 10,000 crore (Rs 100 billion) based on over 7,000 fake invoices and forged documents retrieved by the agency.
The Spice Group on Wednesday alleged that there was no openness and transparency in the bidding for the troubled Satyam Computer and said it would soon decide on whether to go ahead with the bidding process.
iGate had in a statement on Friday evening said that it had dropped its bid for Satyam on 'further analysis'. Clarfying his stand last week that iGate would be keen to bid for Satyam at an offer price of below 90 cents a share, Murthy said, "Had we decided to pursue the bid, the share price would have had no bearing on our offer price as we would have bid at a price we thought was a fair valuation."
Board to meet investment advisors Goldman Sachs and Avendus today.
Satyam Computer Services said it continued to support its long-standing partnership with IBM for lotus enterprise solutions.
Maytas Infra will now have to submit a Rs 240 crore bank guarantee and will get a 60 day breather by paying a penalty. "The global recession and the consequent credit squeeze in national and international capital markets has created a force majeure situation. Besides, the ongoing PIL (filed by an NGO) is having an extremely deleterious effect on our ability to achieve the financial closure," said the company.
At the end of seven-day custody of the accused, the CBI counsel informed the designated court that the agency is yet to complete the interrogation and wanted two more days of their custody.
The board approved the allotment of the shares on March 13, under the stock option plans of the company, Satyam said in a filing to the Bombay Stock Exchange. Pursuant to the allotment, the paid-up share capital of the company stood at Rs 1,34,77,89,584 up from Rs 1,34,77,68,562, the filing added.
Existing investors, who have bought at higher levels of Rs 200 and above, should remain invested for at least a quarter until further clarity emerges from the bidding process.
The agency was probing the rotation of funds and the role of front companies used in rotation of funds, sources said. They added that the conduct of the regulators was also being probed and, if need be, some officials may also be probed. Experts, including CAs from the Institute of Chartered Accountants of India and the Institute of Cost and Works Accountants of India are assisting the CBI in probing the role of regulators in this case.
Satyam Computer Services Limited has commenced a competitive bidding process, which contemplates the selection of an investor to acquire a 51 per cent equity interest in the troubled IT services company.
"The statement of Satyam today is elementary. We will have to study the documents and then decide what to do next. We have to know how they (Satyam) are going to evaluate the company... One just cannot go by the lowest price, one will have to see what the benefit in it for the shareholders is," said L&T Chairman A M Naik. L&T recently hiked its holding in Satyam to 12 per cent by acquiring close to 8 per cent stake through the open market.
Global IT giant IBM is understood to be the front-runner to acquire Satyam Computer Solutions, a company it named as one of its main competitors in a filing to the New York Stock Exchange in February. The US major, said sources close to the developments, has begun discussions with Satyam's government-nominated board and expressed its desire to acquire a majority stake in the company. A team of investment bankers and lawyers from the US and Europe has been brought in.
Maytas Properties, which has a turnover of a mere Rs 22 crore (Rs 220 million) and does not own any land, was valued at Rs 6,523 crore (Rs 65.23 billion) by audit firm Ernst &Young and the valuation was done in a day, the counsel said.
The centre named Process Manufacturing Innovation Centre of Excellence would help companies to take advantage of the advancements made in IT - mainly in areas of product and process innovation, Satyam said.
This is one question that's uppermost in the minds of analysts, marketmen and industry experts even as the Company Law Board on Thursday gave the scam-tainted IT firm's stake sale plan the go-ahead.
The short duration discussion under Rule 193 on the situation arising out of the alleged mismanagement of the affairs of the Satyam Computer Services will now be taken up on February 25, the Lok Sabha bulletin said. Initially, the discussion was scheduled to be held on February 13, but was deferred following a request from leader of the Opposition L K Advani.
Central Bank of India said on Tuesday it has an exposure of Rs 49 crore (Rs 490 million) to Raju-family owned Maytas and is 'willing' to lend to Satyam Computer Services if the company approaches it with a viable proposal. Central Bank of India has a total loan book of Rs 81,000-crore (Rs 810 billion), out of which nearly 27 per cent was contributed by its corporate portfolio.
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