Satyam divests stake in Sify for $ 62.62 million

MUMBAI: Satyam Computer Services Ltd has divested its existing holding of 11,182,600 equity shares of Rs 10 each in Sify Ltd., represented by ADS, to Infinity Capital Ventures LP, a firm controlled by Silicon Valley entrepreneur Raju Vegesna.

The sale was concluded at a price of $ 5.60 per ADSs. The ADSs are priced at a premium by about 7.5 per cent over one month's daily average price as quoted on Nasdaq market, where Sify's ADSs are listed and traded.

Consequent to this transaction, Satyam realised a gross consideration of about $ 62.62 million subject to transaction expenses and tax on capital gains.

DSP Merrill Lynch was the advisor to Satyam on the sale of ADSs, while ICICI Securities was the arranger to Sify's sponsored ADS programme.

Satyam's divestiture is in line with its stated objective to emerge as pure play IT services and solutions company. With the consummation of this transaction, Satyam has ceased to be a shareholder of Sify, a company that it formed in December 1995, as a strategy to foray into allied businesses and to create long term business and investment value.

As against its original investment of $ 5 million in Sify in 1995, Satyam has received a total gross consideration of about $117 million till date, making it a highly successful and value creating investment for Satyam's shareholders.

Commenting on the transaction Satyam Computer Services Ltd chairman B Ramalinga Raju said, "The move would enable Satyam to further focus on its core business and unlock value of its investment. Leveraging Satyam's brand and committed support, Sify has emerged as a strong player in the data and network space in India. I am sure that Sify's management team will continue to scale up Sify's growth with the active support of the new investor."

Latest Reads
World Television Premiere of Judwaa 2 on Star Gold

This Christmas, Star Gold dons the Santa hat promising to indulge its viewers with double the entertainment, double the excitement and double the fun! The Home of Blockbusters announces the World Television Premiere of one of the most sought after films of the year – Judwaa 2. The film that raked...

Television TV Channels Movie Channels
Eros International inks co-production pact with Drishyam Films

Eros International Media Ltd (Eros International) has signed a four-film co-production deal with leading production house, Drishyam Films.

Television Production House Film Production
ITW Consulting bags in-stadia ad rights for Ind & Aus tours of SA 2018

ITW Consulting, India-based sports management company, has acquired in-stadia advertising rights for the Indian and Australian Tours of South Africa for 2017/2018. ITW Consulting rights will market and sell these in-stadia advertising rights to non-South African companies and entities.

Television TV Channels Sports
Nickelodeon kid's choice awards 2017

Nickelodeon Kid's Choice Awards (KCA) 2017, presented by Dabur Red Paste, powered by Jolly Rancher in association with Yellow Diamond and Funskool and Apis Honey took place on 15 December 2017.

Television TV Channels Kids
Focus Group to launch Kannada news channel

Focus Group is now focusing on south India with its upcoming news channel Focus TV Kannada News.

Television TV Channels News Broadcasting
Panchal helps Star Bharat top Hindi GECs across genres

Optimystix Entertainment’s Indian comedy sitcom Kya Haal Mr. Panchal on Star India’s FTA Hindi GEC Star Bharat has been amongst Broadcast Audience Research Council of India’s (BARC) weekly list of top-five Hindi GEC programmes in the HSM markets, more so during primetime. In week 49 of 2017:...

Television TV Channels Viewership
&Privé HD celebrates the birthday of the Steven Spielberg

&Privé HD, the English movie channel, presents Club Privé: Spielberg Edition – a curation of five of Spielberg’s best movies exploring different sides of human emotions. The special will air from 18 to 22 December at 11 pm only on &Privé HD.

Television TV Channels English Entertainment
Green Gold’s golden Mumbai launch

MUMBAI: Green Gold Animation is all set to hit the green running with its new offshoot Golden Robot. The Rajiv Chilaka-run animation outfit has been wowing everyone with its deals for animation series with both Netflix and Amazon Prime.  But the occasion this time was the celebration of the launch...

Television Production House Film Production
Gujarat elections boost news channel ratings as Republic continues to lead English News

BENGALURU: Rahul Gandhi’s shenanigans and Narendra Modi’s sudden and unexpected belligerence at rallies leading up to the Gujarat state assembly elections have resulted in bolstering sagging news viewership, especially for the English news genre. According to Broadcast Audience Research Council of...

Television TV Channels News Broadcasting

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories