Tech Mahindra gets hold of Satyam
Tech Mahindra emerged as the front running successful bidder acquiring 31% stake at Rs. 2,900 crores in Satyam Computer Services and is estimated to gain around $800 million-$1 billion in annualized revenues from the acquisition. According to reliable sources Tech Mahindra offered Rs 58 per share for the Satyam bid, while L&Ted offer Rs 49.
However, Tech Mahindra will have to face the onerous challenges of integrating teams from different service lines in addition to convincing clients about business continuity and quality of services provided.
The Satyam acquisition will help Tech Mahindra diversify its software services business, and compete aggressively with bigger rivals such as TCS, IBM, Infosys and Wipro. Satyam, which serves customers such as GE, GM and Ford, will also help Tech Mahindra build a better portfolio of customers.