Indian, foreign firms register for Satyam

Fri Mar 13, 2009
BANGALORE (Reuters) - Fraud-hit Satyam Computer Services Ltd (SATY.BO: Quote, Profile, Research) said on Friday that Indian and international firms, including private equity companies, had registered to bid for a controlling stake.

The outsourcing company said it had received an adequate response but did not name or number the bidders.

Two investment banking sources told Reuters some eight potential suitors had registered to bid for a 51 percent stake.

"There have been at least 5-8 bids. We expect a much, much smaller number to proceed to the next stage of putting in a financial bid," said a banker with knowledge of the deal who asked not to be identified.

Indian engineering firm Larsen & Toubro (LART.BO: Quote, Profile, Research), IT services firm Tech Mahindra (TEML.BO: Quote, Profile, Research), diversified Spice Group and U.S. outsourcer iGate Corp (IGTE.O: Quote, Profile, Research) all said they had registered as potential bidders.

Bidders must submit a detailed expression of interest and have available at least 15 billion rupees ($290 million) by March 20.

Satyam Chairman Kiran Karnik told Reuters the registration process did not require companies to meet any conditions.

"The names could include PE firms or law firms which are representing somebody else. At this stage we have not asked them to divulge who their partner is or who they are," he said.