News Analysis Archives - Page 4 of 5

Satyam’s board dismissed, government nominated board to step in after a week

January 9, 2009August 20, 2014Editor

The government acted in time to stop tomorrow’s board meeting of Satyam Computer Services. Otherwise, a 3-member board would have met tomorrow, to consider the resignations of its chairman and managing director and discuss options before the company. This is the same board, down from its original strength of nine, which has presided over the worst corporate scam in the new millennium in India. Any decision of this board would have been viewed with suspicion.

Yawning gap in Satyam’s balance sheet

January 8, 2009August 20, 2014Editor

Corrected: The Assets’ side total is Rs 2889 crore and not Rs 2936 crore as was earlier stated, in the last paragraph.

Satyam’s options are not many

January 7, 2009August 20, 2014Editor

Can Satyam continue to function under a tainted board? Satyam’s board was already a thinly manned one, with just five members. Two are the promoters B Ramalinga Raju and his brother B Rama Raju who have given their resignations. Ram Mynampati is the senior executive on the board. He has been with Satyam since 1999. The company website says he is the president, commercial and healthcare, since October 2002. It is very difficult to imagine him as the interim CEO, as Raju’s letter proposes, in a situation where trust in its board has evaporated.

Satyam postpones buyback meeting, bigger restructuring planned

December 29, 2008August 20, 2014Editor

Software services provider Satyam Computers has postponed today’s board meeting to consider a buyback. Its chairman, B. Ramalinga Raju said that considering the questions that have been raised in the past two weeks, the need for them to be properly addressed and considering the interests of stakeholders, the company is broadening the scope of deliberations beyond a buyback.

Sebi’s letter to Pyramid Saimira a forgery, several unanswered questions

December 25, 2008August 20, 2014Editor

“We are clear ….SEBI’s letter Forged….” That’s the blurb on Pyramid Saimira’s website, a sign of a relieved company or actually a relieved promoter that he is not under Sebi’s glare. But it would be unfortunate if the hoax perpetrated on the financial media, Pyramid’s shareholders and the market regulator Sebi were to end so tamely.

Axon goes to HCL: the mystery gameplan?

December 16, 2008August 20, 2014Editor

Today, Axon Global’s shares will stop trading on the London Stock Exchange, marking a smooth ending to a takeover, which at one time saw HCL Technologies and Infosys Technologies pitted against each other. Though the logic of the deal and its benefits for HCL has been dealt with earlier, the ease with which HCL outbid Infosys is puzzling.

Ten things to kickstart the Indian economy

December 10, 2008August 20, 2014Editor

Here are some ideas to bring the economy back on the growth track. Some of these could be permanent, yet others could be temporary till the situation improves.

Booster Dose #3: Govt lowers excise rates, big deal?

December 8, 2008August 20, 2014Editor

This is the third instalment of the weekend stimulus package. The government has lowered the cenvat rate by 4% across all rate slabs: 14%, 12% and 8%. The ad valorem duty on cars has been reduced to 20% from 24%, but it is still higher compared to the highest cenvat rate.

India’s top companies under Sebi’s scrutiny

December 1, 2008August 20, 2014Editor

Being part of the BSE Sensex and the NSE Nifty is a privilege for a company, a sign that you have arrived. Apart from the snob value, it gives a relative boost to a company’s market capitalisation.

HCL bids for Axon Global, teases Infosys

September 27, 2008August 20, 2014Editor

HCL Technologies, as was rumoured, made its move to acquire Axon Global, spoiling Infosys’ party mood. The Delhi-based IT company has launched a counter-bid for Axon Global, which will make Axon shareholders happy, but also ups the acquisition cost for Infosys. HCL’s initial bid of 650 pence a share, through its UK-subsidiary HCL EAS, is just an invitation to start a bidding war. With just an 8.3% premium to Infy’s offer price, Infosys will most certainly make a counter-bid.