Barely 48 hours before Mahindra group firm's open offer for Satyam, the government-appointed board has decided against endorsing it saying this could be construed as a "negative statement" about fundamentals.
"The board believes that making a recommendation supporting the open public offer would be tantamount to recommending the shareholders sell their holding in Satyam," Chairman Kiran Karnik said in a letter to the company's domestic and overseas shareholders.
The letter is part of a regulatory filing by the beleagueard IT firm with the US market regulator SEC last night.
Indian conglomerate Mahindra and Mahindra's IT arm Tech Mahindra, which last month acquired 31 per cent stake in the scam-ridden Satyam for Rs 1,756 crore, will begin accepting shares from the public shareholders from tomorrow under its over Rs 1,100 crore open offer for additional 20 per cent stake.
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