The bidding process for companies interested in
acquiring Indian IT supplier Satyam has begun.
The company was
given the go-ahead last week to kick off the process that will
see at least 51% of Satyam's shares bought by an acquirer. This
morning this process began.
The Securities and Exchange Board of India agreed last week that
Satyam can facilitate a global competitive bidding process.
Such is Satyam's appeal in terms of skills and customer
relationships this could see IT giants such as IBM and Oracle come
up against Indian suppliers.
Companies interested in participating in the bid must register
its interest by 20 March.
They will be asked to submit a detailed Expression of Interest
and proof that they have $290m available.
Companies in India as well as Europe and the US have been linked
with the firm, which became embroiled in an
accounting scandal. Former Satyam chairman B Ramalinga Raju
admitted that he had falsely reported the company's results. The
scandal left the company short of cash and left customers nervous
about their relationships with the company.
The company has since appointed an emergency board to help it
recover and find a suitable buyer.