Hinduja to bid for Satyam depending on valuation

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The Company Law Board has cleared the Satyam stake sale plan. It has given the green signal for Satyam's capital base to be hiked to Rs 280 crore.

 

Commenting to the same, Prabal Banerji, Group CFO, Hinduja, said the step taken by government is right and appropriate. He stated the company will make a bid for Satyam depending on the valuation.

 

According to him, the open offer gives a proper valuation to minority shareholders whoever wants to exit from that organisation. "We would prefer to have 51% but if 51% is not available we don't mind looking at above 26% open offer."

 

Also Read: CLB okays Satyam stake sale plan

 

Here is a verbatim transcript of the exclusive interview with Prabal Banerji on CNBC-TV18. Also watch the accompanying video.

 

Q: What are you making of the process having been ironed out now? Are you still interested in Satyam ?

 

A: The interest depends on the valuation, the due diligence process, how much access is given to the books - all those visibilities and clarities. But I think the step taken by government is very right and appropriate step.

 

Q: Are you going to make a bid?

 

A: We will make a bid only when we know what is there in it. Without a valuation possibly making a bid will not be proper.

 

Q: We have been hearing the Satyam board saying that the restatement of accounts is going to take a much longer time and they're likely to wait for the restatement to happen before they open bids. How else would you then proceed if you don't know the state of accounts?

 

A: I know that and there is an issue which we need to discuss internally and take call.

 

Q: So you are not yet 100% sure whether you are going to bid or not?

 

 A: I will not comment on that. We need to look at the process and take a call internally.

 

 Q: You need to look at the process or you need to look at valuation?

 

 A: All of that - process includes everything.

 

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