Friday, June 26, 2009

India's Satyam Computer announces new brand name

MUMBAI (AFP) — Indian outsourcing firm Satyam Computer announced Monday it was re-branding itself as it tries to recover from the country's worst-ever corporate scandal.

In a statement to the Mumbai stock exchange, the firm said it will now trade under the name "Mahindra Satyam", reflecting the purchase of the company two months ago by mid-sized outsourcer Tech Mahindra.

The company will also adopt a new logo from the Mahindra group.

In April, Tech Mahindra paid nearly 600 million dollars for a majority share of Satyam, which has been struggling since its founder confessed in January to falsifying accounts in India's biggest accounting fraud.

"The re-branding symbolises an amalgamation of the Mahindra group's values with Satyam's fabled expertise," said Anand Mahindra, vice chairman of the Mahindra group.

A statement said the firm would maintain Satyam in its name because it signifies "commitment, purpose and proficiency."

Satyam, ranked as India's fourth-largest outsourcer by revenues when the scandal broke, acts as a back office for some of the world's biggest companies including Nestle, General Electric and General Motors.

Earlier this month, the Hyderabad-based firm reported modest but better-than-expected quarterly profits, raising hopes it could recover.

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