MphasiS board welcomes EDS offer

8216;8216;We welcome the offer as it would be good for the customers and employees, we will be able to expand the offerings and look forward to its successful closure,8217;8217; said Jerry Rao, chairman and CEO of MphasiS. He described the offer as a strategic and cultural fit.

On Monday, the 20 billion US-based EDS made a conditional offer to acquire 83 million shares or 52 per cent of the Bangalore-based company at Rs 204.5.

This price is higher than the average of the weekly high and low of closing price of MphasiS shares during the 26-week period preceding the offer announcement Rs 157.31. It is also higher than the daily high and low of the shares during the two weeks preceding the date of the announcement Rs 204.45.

Asked if EDS would completely buy out MphasiS in the time to come, Rao said: 8216;8216;I don8217;t think so8230; They EDS are very clear about it that they want 52 per cent and not more than that8221;.

Asked about the immediate changes in the company as soon as the proposed offer is complete, he said: 8216;8216;The current management would continue though there would be changes at the board level to reflect the changes in the shareholding pattern8217;8217;.