MUMBAI: Venturbay Consultants, a subsidiary controlled by Tech Mahindra, has emerged as the higest bidder to acquire the controlling stake in Satyam, according to a release issued by the government-nominated board to the BSE today.
According to the release issued to the BSE today, Tech Mahindra has agreed to subscribe and acquire up to 30.28 crore shares,representing 31% stake in the company at Rs 58 per share thereby agreeing to infuse Rs 1,756 crore (approximately $351 million).
Tech Mahindra will have to deposit the initial subscription amount and the requisite escrow amount on or before April 21, 2009.
"In the event of Tech Mahindra does not deposit the total acquisition funds before April 21, the next higest bidder will be considered the highest bidder and the detailes will be announced by the board," the release added.
Board members Deepak Parekh and S B Mainak abstained from the discussion regaring the selection of the highest bidder.
Tech Mahindra will make the mandatory open offer for 20% stake in Satyam at Rs 58 per share within four days of receiving approval from the Company Law Board for the preferential allotment, and open the public offer no later than 55 days after the date of the announcement of the public offer.
The company will pay Rs 2,890 crore for 51% stake in Satyam, which has been valued at nearly 1xsales.
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