Beginning of the end as Satyam invites buyers

The bidding process for companies interested in acquiring Indian IT supplier Satyam has begun. The company was given...

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.

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