News Analysis

Topic: Mahindra satyam beats expectations

Presented by: Shihab C P

About

SATYAM

Satyam Computer Services Ltd founded in 1987 by B.Ramalinga Raju

September 16, 1954 (1954-09-16) (age 54) Bhimavaram, Andhra Pradesh, India Hyderabad, India Indian former Chairman, Managing Director of Satyam Computers US$495 million (2004)[1]) Nandini

Born

Residence Nationality

Occupation

Net worth
Spouse(s)

Company Timeline:
1987

- Incorporated as a Private Limited Company 1988-1992 - IPO 1993-1996 - Satyam Technology Center established 1997-2000 - Presence in 30+ Countries 2001-2004 - Founded Satyam BPO

2005-2008
-Acquisition of Bridge Strategy,Citisoft, Knowledge Dynamics, Nitor Solutions, S&V Management Consultants. -30+ Global Solution centers 2009 -Satyam plunged into a crisis in January 2009. -In March 2009 the company announced it would begin soliciting bids from potential buyers. -In June 2009, the company unveiled its new brand identity Mahindra Satyam.

Controversies involving Satyam

Satyam plunged into a crisis in January 2009

after its founder, B Ramalinga Raju, stated that the company's profits had been overstated.
07 Jan - Company chairman declared that the

companys profits had been overstated for several years.

On January 7, 2009, Chairman Raju resigned

after publicly announcing his involvement in an accounting fraud.

Satyam Acquisition:

In March 2009 the company announced it would

begin soliciting bids from potential buyers.

Companies involved in Bids:

Tech Mahindra (Mahindra Group) Larsen & Tourbro.

RESULTS:
In April 2009, Tech Mahindra emerged as the highest

bidder to acquire a controlling stake in Satyam. 13 April - Tech Mahindra acquired majority stake in Satyam.

Tech Mahindra Satyam takeover approves:

Company Law Board(CLB) approves Tech

Mahindra take over of The Rs.58/ share on Satyam Computers. Tech Mahindra, sixth largest software exporter. Tech Mahindra acquiring the 31% in Satyam Computer Services Ltd for Rs.1756 crore.

Satyam Becomes Its New Brand Identity Mahindra Satyam

21 June - New brand, Mahindra Satyam launched

C. P. Gurnani

(CEO of Mahindra Satyam)

Board Members:
Anand Mahindra (Vice Chairman & Managing

Director, Mahindra Group) Vineet Nayyar (Executive Vice Chairman of Tech Mahindra Limited) C. Achuthan (independent director) T. N. Manoharan (independent director) C. P. Gurnani (CEO of Mahindra Satyam) Sanjay Kalra (CEO of Tech Mahindra Limited) Ulhas N. Yargop (President, IT Sector and Member, Group Management Board of Mahindra & Mahindra Ltd.)

Industry Presence:
Mahindra Satyam provides services in the following areas:
Aerospace and Defense Banking, Financial Services &Insurance Energy and Utilities Life Sciences & Healthcare Manufacturing, Chemicals & Automotive Public Services & Education

Retail and Consumer Packaged

Telecom, Infrastructure, Media and Entertainment &

Semiconductor Travel and Logistics & Industrial Equipment

Competencies:
Mahindra Satyam offers the following horizontal services.
Extended Enterprise Solutions Web Commerce Solutions Business Intelligence Services Quality Consulting Strategic Outsourcing Services Industry Native Solutions BPO Engineering Services

About News..
The Ghost of the past has been exorcisedNayyar
Mahindra satyam has registerd Rs 352 Cr Net

profit during Q1, 56.4 % increase (june 30 2012) Total revenue increased to 1880 Cr from 1666 CrUncertainity They had overcome de-growth conditions in Asia Pacific and Europe

Market strategy of the unified entity

There are two sides to this. Firstly, they had strengthen the sales engine Secondly, They had started some joint ventures, in Central and South America, and different parts of the World-Then they conducted marketing campaigns around some of our alliance partners.

Current Market position

BSE: Aug 03, 15:59 88.95 5.3 (6.34%)
VOLUME

10,395,858

NSE : Aug 03,15:58 89.00 5.25 (6.27%)

VOLUME

26,480,100

Major Competitiors
Infosys

TCS
Wipro HCL Tech

Oracle Finance
Mphasis Patni Computer

Financial Tech