Satyam Computer is interesting: Wilbur Ross

1 Apr 2009

NEW DELHI: Billionaire investor Wilbur Ross, who is in the race to buy Satyam, has said on Wednesday that the IT firm is interesting but declined further comment due to India's confidentiality rules.

Six suitors, including Ross, have inked non-disclosure pacts with Satyam Computer Services, a pre-requisite to do due diligence on the assets and liabilities of the IT firm.

Of these, four bidders have already done the due diligence and two more are expected to follow suit.

Wilbur Ross, engineering firm Larsen & Toubro, IT services firm Tech Mahindra, and a US-based IT firm feature in the list of bidders who have completed the due diligence, said people familiar with the development. This will enable them put a price tag on Satyam.

The government-appointed Satyam board had shortlisted around eight bidders who had expressed interest in the company. The shortlist included the BK Modi-promoted Spice Group.

But the Spice group did not sign a non-disclosure agreement as it reckoned the bidding process was not transparent, said Preethi Malhotra, director of Spice Innovation Technologies (SIT), a special purpose vehicle floated by Spice group to buy Satyam.

Another bidder may also have opted out of the race, taking the tally now to six qualified bidders. PE firms that expressed interest in Satyam can disclose their partners while submitting financial bids, said a person familiar with the development.

Wilbur Ross, founder of the private equity firm WL Ross, pumped money into SpiceJet last year.