Race for Satyam: L&T, Hindujas show interest, Spice to bid by Thurs

Mumbai: IT major Satyam Computer on Monday started the competitive bidding process for selling a 51 per cent stake to an investor while Hinduja Group and engineering major Larsen & Toubro reiterated their interest in the company.
The company, which recently got SEBI approval to sell up to 51 per cent, on Monday issued an expression of interest, according to which there is no floor price for the bidders and the interested investor will have to register with the company by March 12.
The bidders will have to submit detailed EoIs, along with proof of availabilty of funds of at least Rs 1,500 crore, by March 20, Satyam said in a statement.Engineering and construction firm Larsen & Toubro, the largest single shareholder in the IT firm, said it will take a decision on bidding for Satyam before March 12.
"We will take a decision based on the guidelines that have been issued. We will decide before March 12," a company spokesperson told PTI.Spice Group Chairman B K Modi said his company will bid for Satyam Computer, while conglomerate Hinduja Group said it is looking at bidding for the troubled firm but yet to take a decision.
"We are looking at that (bidding for Satyam) ... We have to take a decision," Hinduja Group CFO Prabal Banerjee told PTI. Modi said Spice Corp will have no problem in submitting cash proof of Rs 1,500 crore as the company has got enough funds in the bank."It is a good start and we will bid before Thursday," Modi said.
Satyam said that based on the submitted EoIs, eligible bidders will be short-listed and given access to certain business, financial and legal diligence material of the company provided they sign a non-disclosure and non- solicitation agreement with Satyam.The process of stake sale involves 31 per cent fresh equity shares and 20 per cent via open offer.