Mahindra Satyam shareholders approve merger with Tech Mahindra
PrintListen to this Article
Mahindra Satyam today said its shareholders have approved the merger of the firm with its parent company Tech Mahindra.
"The shareholders of both Tech Mahindra and Mahindra Satyam have unanimously approved the scheme of amalgamation and merger of Satyam Computer Services Ltd, Venturbay Consultants, C&S System Technologies, CanvasM Technologies andMahindra Logisoft Business Solutions with Tech Mahindra," Mahindra Satyam said in a statement.
The decision was taken at the respective extraordinary general meeting (EGM) of the two companies held earlier earlier this week to consider the merger proposal. The EGM was convened as per the orders of Andhra Pradesh High Court.
Earlier, the two companies' boards had proposed a swap ratio of 2:17. This means for every 17 shares held in Mahindra Satyam, shareholders will get two shares in Tech Mahindra.
Both Bombay Stock Exchange and National Stock Exchange had already given their approvals for the merger. Competition watchdog CCI too had given a go-ahead to the the proposed amalgamation.
The merged entity is expected to be the country's fifth largest software firm with an annual revenue of about $2.4 billion.
With approval from shareholders, both the companies would move forward in the process of merger and take appropriate steps after due diligence as advised by the appointed lawyers and consultants, the statement said.
The combined entity, would benefit from operational synergies, economies of scale, sourcing benefits, and standardisation of processes to create a top level information and communications technology service provider, it added.
In March this year, the boards of Tech Mahindra and Satyam Computer in their respective meetings approved a proposal to merge Mahindra Satyam with Tech Mahindra.
Tech Mahindra took over the scam-hit Satyam in April, 2009 and rebranded it as Mahindra Satyam after Founder and Chairman of Satyam, B Ramlinga Raju, had admitted to multi- crore accounting fraud at the firm in January 2009. (Economic Times)
Category : Merger & Acquisitions | Comments : 0 | Hits : 321
Punjab National Bank (PNB) may be centre of the next round of PSU bank merger in September where the Delhi-based lender could take some smaller PSU banks under its ambit. The names of Syndicate Bank, Oriental Bank of Commerce, Andhra Bank and Allahabad Bank are being considered for the merger. Sources said the move would add muscle to a big bank like PNB, which has just emerged from a dark phase of fraud by diamond merchant Nirav Modi and also has posted handsome profits. The lender could ...
The government is soon likely to invite select lenders for discussion on a second round of merger in public sector banks, according to a finance ministry official. The lenders to be called may include Punjab National Bank (PNB), Union Bank of India and Bank of India (BoI). “We wouldn’t like to wait for too long,” said the official, indicating that some merger activity is on the cards around second or third quarter of the current fiscal year. “If the bank...
State-owned Bank of Baroda (BoB) is likely to complete the process of merger of Dena Bank and Vijaya Bank with it in two years, said a senior official of BoB. The merger of Dena Bank and Vijaya Bank with BoB became effective from April 1. Information technology platform integration alone will take about 12 months and other processes and systems may take another year or so, the official said. The process has been designed to ensure that there is minimum disruption of the customers during th...
The board of Lakshmi Vilas Bank on Friday approved the merger of the private sector lender with Indiabulls Housing Finance (IBH) through a share swap deal. The merger will help Indiabulls get access to low-cost stable funds and an entry into banking. The company, the nation’s second largest housing finance firm, had unsuccessfully applied for a banking licence in 2013. The merger will also enable Tamil Nadu-based LVB to obtain a larger geographical presence. The merged entity will ha...
Bank of Baroda on Wednesday said the merger of Dena Bank and Vijaya Bank with itself would be effective from April 1 as per the scheme of amalgamation approved by the government. Besides, the board of the bank fixed March 11, 2019, as record date for issuing and allotting equity shares of the Bank of Baroda to the Shareholders of Vijaya Bank and Dena Bank. This scheme may be called the Amalgamation of Vijaya Bank and Dena Bank with Bank of Baroda Scheme, 2019, BoB said citing the governmen...
Comments