Tech Mahindra to announce 20 percent open offer for Satyam Tuesday

HYDERABAD - Tech Mahindra, the new owner of scam-hit Satyam Computer Services, will announce an ‘open offer’ Tuesday to obtain an additional 20 percent stake in the software major, Satyam chairman Kiran Karnik said here Monday.

Tech Mahindra, which deposited Rs.2,910 crore (Rs.29.1 billion) in an escrow account Monday for a 31 percent stake in Satyam, will see its total holding increase to 51 percent after the open offer.

Karnik said the six directors appointed to the board by the government will continue in their posts till further orders from the Company Law Board. Tech Mahindra will appoint up to four more members.

The board has submitted a list of 100 key Satyam employees to Tech Mahindra, Karnik said, adding that no decision had been taken yet on the continuation of Ram Manyampati, who was the interim chief executive after disgraced former chairman B. Ramalinga Raju stepped down.