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New Delhi: Tech Mahindra, the IT arm of auto major Mahindra and Mahindra, Monday won the bid for
India's fourth largest software exporter Satyam Computer.

Satyam's new board of directors, which met to select the highest bidder, chose Tech Mahindra following
its bid of Rs 1,757 crore for 31 per cent stake in the scam-tainted IT giant.

Tech Mahindra offered Rs 58 for each Satyam share.

The board will now have to inform the Company Law Board (CLB) of its selection. The CLB will will
announce its approval, within a week. The new owner will take over the management only after CLB's
nod.

Engineering major Larsen and Toubro (L&T) and private-equity firm WL Ross were among the other
major contenders for the Hyderabad-headquartered Satyam.

L&T already holds 12.04 per cent stake in Satyam.

The six-member Satyam board is headed by Kiran Karnik, former president of the National Association of
Software and Services Companies (NASSCOM) that represents the software industry.

Besides Karnik, the board comprises HDFC chairman Deepak Parekh, former Securities and Exchange
Board of India (SEBI) member C Achuthan and Confederation of Indian Industry (CII) mentor Tarun Das.

Karnik said, "This is the culmination of what we have been through. The final steps are now just about to
be taken and I have very happy that at this stage Satyam is with a new investor. It has been a great
company which was driven off-course. We as a board tried to put the fire and get it on course and I am
please to say it has got it there now. There is new captain on board and he can take it forward as it
deserves to be taken forward."

Welcoming the sale of 51 per cent stake in Satyam to Tech Mahindra, Director General CII, Chandrajit
Banerjee said, ͞Tech Mahindra, a Rs 3,800 crores company is a competent IT services provider. This
would help Satyam come back to its zenith. The takeover by Tech Mahindra would also immensely help
Satyam regain its shareholder value and would also benefit its employees and customers.͟

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Mumbai: Shares of Satyam Computer Services shot up Monday after its board named Tech Mahindra as
the highest bidder to take over a strategic stake of 31 per cent in the company for Rs 1,756 crore (1
million).

Tech Mahindra, which will also make an open offer for another 20 per cent stake in the scam-hit
company through its subsidiary Venturbay Consultants, also saw its shares soar over 12 per cent soon
after the announcement.

At the Bombay Stock Exchange (BSE), Satyam was ruling at Rs 50.15, with a gain of 6.36 per cent over
the previous close. At one point on Monday, the scrip touched a high of Rs 54.90 against Tech
Mahindra's winning bid of Rs.58 per share.

The scrip of Tech Mahindra, part of automobile major Mahindra and Mahindra, rose even higher in
percentage terms and was trading at Rs 359.60, with a gain of 12.36 per cent over its previous close. The
scrip had touched a high of Rs 400 during intra-day trading.

India's fourth largest software exporter Satyam Computer Monday said Tech Mahindra had emerged the
highest bidder for its controlling stake, outbidding other two contenders - Larsen and Toubro and a
consortium comprising Cognizant and Wilbur Ross.
The scam at Satyam, which came into light in January had seen its scrip plummet from a 52-week high of
Rs 544 to a low of Rs 11.50 after its after its founder B Ramalinga Raju shocked India Inc by admitting to
the massive financial fraud of Rs 7,800 crore (Rs.78 billion).

"The selection of the highest bidder, in a fair, open and transparent process, signals a new stage for the
company in its progress towards stabilisation and growth," said Kiran Karnik, chairman of Satyam's
reconstituted board.

"We hope this will infuse greater confidence and comfort amongst customers, who continue to be
happy with Satyam's excellent service delivery. This event ought to dispel the anxiety of all stakeholders
as it repositions the company's commitment to revival and good governance."