At the Satyam Counter

Financial institutions owning close to 60 per cent equity in Satyam are collectively exploring all available options,including legal action.

FI investors mulling legal action,buyout options

New Delhi: Financial institutions owning close to 60 per cent equity in Satyam are collectively exploring all available options,including legal action. Indias largest private sector life insurer,ICICI Prudential,which holds a 2.5 per cent stake in Satyam Computer,said it is in talks with other institutional investors. We are evaluating all possible options to maximise the value for our stakeholders, a senior official of ICICI Prudential Life Insurance said. Meanwhile,as many as four institutional investors Aberdeen International,Fidelity,Morgan Stanley and Swiss Finance sold Satyam shares worth over Rs 300 crore in open market transactions. Aberdeen International sold a total of over 3.61 crore Satyam shares for an aggregate of nearly Rs 154 crore while Swiss Finance exited from Satyam after selling over 1.37 crore shares for an aggregate of Rs 109.15 crore.

Tech Mahindra may evaluate Satyams telecom business

New Delhi: Software company Tech Mahindra said it may evaluate the telecom business of the Satyam Computer Services for acquisition. We are not interested in the whole company. We may be interested in its telecom business which forms a very small part of Satyam8217;s entire portfolio if customers want us to, the company spokesperson said. He said the interest areas for Tech Mahindra could be taking over the telecom contracts and the employees associated with the vertical. Asked if the company has appointed any merchant banker for the evaluation process,the spokesperson said the company has not hired any external banker.

NSE removes Satyam from Nifty; NYSE halts trading

mumbai/ new york: The National Stock Exchange removed Satyam from its benchmark index Nifty. The IT firm will be replaced by Reliance Capital with effect from January 12. Satyam would also be removed from various other indices like CNX 100,Samp;P CNX 500,CNX IT and the CNX Services sector index,the NSE said. Meanwhile,the New York Stock Exchange halted trading in Satyam Computer at its bourses in the US as well as Amsterdam in Europe.

Merrill snaps ties with Satyam over irregularities

mumbai: Investment banker DSP Merrill Lynch said it has terminated its services with software services firm Satyam,after coming to know about the material accounting irregularities in the IT firm. The investment banker,which was appointed by Satyam Computer to consider strategic options,had yesterday communicated to the company about the said termination. We,DSP Merrill Lynch Limited,have terminated our advisory engagement with Satyam Computer Services Ltd for considering various strategic options on January 6,2009, DSP Merrill Lynch said in a statement.