L&T has not increased Satyam stake: CFO
L&T has also not written to the govt expressing interest about getting control of Satyam. Satyam's Development Centres | Top Accounting scandals
By Agencies |
MUMBAI: Larsen & Toubro, India's top engineering and construction firm, has not increased its stake in Satyam Computer Services this week nor has it written to the government expressing interest about getting control of the fraud-hit outsourcer, a top official said.
L&T last week trebled its stake in Satyam to 12 percent, making it the largest shareholder, a move it said was to protect its interests.
"No, we have not written to the government," chief financial officer Y.M.Deosthalee told a news channel.
On Tuesday L&T said it might further raise its stake in the scam-tainted Satyam Computers.
"Overall, we are only trying to improve our situation," company chairman A.M. Naik told a news channel. "If nothing else, to really make L&T Infotech bigger by our stake in Satyam," Naik said.
Incidentally, L&T Infotech's revenues are expected to touch $500 million (Rs.25 billion) this fiscal.
Last week, L&T had raised its stake in Satyam to 12 percent from 4 percent. It also believes the stake hike would ensure a seat on the IT firm's board.
There will be a number of challenges in front of L&T, one of them being convincing investors about enhancing its software business, which forms less than 10 percent of its revenue.
Satyam faces liabilities in the form of US class action lawsuits after former chairman B. Ramalinga Raju admitted to inflating earnings for "several years".
Earlier, Tarun Das, a member on the newly-formed Satyam board, had said: "We have looked at the legal issues which the company faces because of the class actions suits filed in America and have appointed legal advisors to deal with that."
L&T last week trebled its stake in Satyam to 12 percent, making it the largest shareholder, a move it said was to protect its interests.
"No, we have not written to the government," chief financial officer Y.M.Deosthalee told a news channel.
On Tuesday L&T said it might further raise its stake in the scam-tainted Satyam Computers.
"Overall, we are only trying to improve our situation," company chairman A.M. Naik told a news channel. "If nothing else, to really make L&T Infotech bigger by our stake in Satyam," Naik said.
Incidentally, L&T Infotech's revenues are expected to touch $500 million (Rs.25 billion) this fiscal.
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Last week, L&T had raised its stake in Satyam to 12 percent from 4 percent. It also believes the stake hike would ensure a seat on the IT firm's board.
There will be a number of challenges in front of L&T, one of them being convincing investors about enhancing its software business, which forms less than 10 percent of its revenue.
Satyam faces liabilities in the form of US class action lawsuits after former chairman B. Ramalinga Raju admitted to inflating earnings for "several years".
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Earlier, Tarun Das, a member on the newly-formed Satyam board, had said: "We have looked at the legal issues which the company faces because of the class actions suits filed in America and have appointed legal advisors to deal with that."
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