Press Trust of India / Hyderabad Feb 13, 2010, 18:28 IST
Mahindra Satyam (formerly Satyam Computer) need not necessarily be merged with its new owner Tech Mahindra, and it could well be the reverse, Mahindra Group Vice Chairman and MD Anand Mahindra indicated today.
"Obviously the end goal is to merge the two companies. We have not yet decided which company will merge with which. We will decide that once the accounts are in hand," he told PTI on the sidelines of a conference here.
Replying to a query on the accounts of Satyam Computers, he said the restatement of accounts was not something that was in his hands.
Tech Mahindra had acquired control of its much larger rival Satyam (once ranked the fourth largest Indian software company) in April, three months after Satyam's founder disclosed to fudging the company's accounts.
"We are hoping to complete the process. But it is not in our control. The audit is being done by KPMG and others. However merger will definitely take place", said Mahindra.
Incidentally, the Company Law Board (CLB) has set June 30, as the new deadline for Mahindra Satyam to file its re-stated accounts. The CLB had earlier set December 31, 2009 as the deadline for restating the accounts.
Due to the bad reputation of TechM marathi middle management, Sr mgmt of TechM is unable to get new business even in Telecom sector, so Anand mahindra found that retaining TechM brand will lead loosing the existing business of satyam also. Considering the fact that BT is ready to pay off TechM a compensation for contract restructuring rather than commit business shows lack of confidence in TechM.
Even current CEO of TechM seems to be ready to jump the ship(that has too many holes to be fixed).
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