Mahindra Satyam rises as AP High Court clears merger with Tech Mahindra

Tech Mahindra is trading higher by 1.8% at Rs 986, after surging around 3% yesterday on BSE.

Mahindra Satyam is trading higher by 2.2% at Rs 114, extending its previous day’s 4.2% gain, after the Andhra Pradesh High Court cleared the decks for the merger of the company with Tech Mahindra on Tuesday.

Both companies had obtained the approvals of most of the stakeholders a year ago, including the stock exchanges, Competition Commission of India (CCI) and Mumbai High Court, but the merger could not be completed without the AP High Court's approval which the company has now received.

Their respective boards had already proposed a swap ratio of 2:17 (for every 17 shares held in Mahindra Satyam, shareholders will get two shares in Tech Mahindra).

Share of Tech Mahindra, too, are trading higher by 1.8% at Rs 986, after surging around 3% yesterday on BSE.