Mumbai, April 4 The Satyam board has extended the deadline to submit technical and financial bids to April 13 from April 9 with the bidders seeking more information on the company, according to Satyam board member Mr Deepak Parekh.
The board is expected to complete the process and announce the name of the successful bidder the same day in Mumbai.
Deepak Parekh, a director on the Satyam board said Saturday. Mr. Parekh also said that the deadline for the bids was being extended to April 13, at the request of the bidders who met with the Satyam board on Friday.
The board is expected to complete the process and announce the name of the successful bidder the same day in Mumbai.
“Additional data on Satyam’s top-line and customer information updated up to February-end is being made available to the bidders through the virtual data rooms. Since the Satyam incident unfolded in December and January, bidders were keen on status of top-line, new projects and cancellations updated up to February-end,” a senior official involved in the bidding process said.
“They sought more time to assimilate the information and finalise their proposal to acquire the controlling stake,” sources close to the development said.
"We have extended the date till April 13 because of three holidays," Mr. Parekh said. He added that the bidders also asked for additional data in their Friday meeting, but declined to disclose the names or the number of bidders pursuing the beleaguered software exporter.
"The bidders have also asked for additional data, which they will get in a day or two," Mr. Parekh added.
Hyderabad-based Satyam, once India's fourth-largest software exporter by revenue, is looking to sell as much as a 51% stake to a buyer who will infuse funds and help revive the company.
The company has been in turmoil after its founder, B. Ramalinga Raju, revealed in January that he overstated its profits over several years and created a fictitious cash balance of more than $1 billion.
Even after deciding on a winning bidder on April 13, the sale process for Satyam could continue beyond that date. There is a possibility of a second round of bidding for the software exporter, if at least one bid 90% or more in value of the highest bid is received.
Friday, Satyam Chairman Kiran Karnik had said that the company was sticking to its earlier announced time schedule for the sale. The government-appointed Satyam board had set April 30 as the date for which it expects to select a successful bidder.
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