SEBI puts Satyam bidders net assets at Rs750 crore

07 March 2009

The qualified investors who wish to bid for Satyam Computer Services Ltd should have total net assets in excess Rs750 crore ($150 million), the Securities and Exchange Board of India (SEBI) said ysterday while approving Satyam's bidding process.

Satyam had sought SEBI nod for a global competitive bidding for selling 51 per cent equity stake in the company.

With the clearance from SEBI, the company expects to invite expressions of interest from qualified investors shortly.

SEBI had amended the takeover regulations and eased pricing norms as the current merger and acquisition framework was not adequate to deal with an incident like Satyam, SEBI chairman CB Bhave said at a conference in Mumbai.

The regulator has imposed a few conditions. It said the investor would not be permitted to sell any acquired equity shares of Satyam for a period of three years from the date of acquisition, although the investor would be able to subscribe for additional equity shares.

''The bidding process will begin shortly,'' Satyam board member Deepak Parekh said. Parekh, along with Satyam chairman Kiran Karnik and board member Tarun Das, met corporate affairs minister P C Gupta in New Delhi on Friday.