Troubled Satyam To Consider Changes At Board Level
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Troubled Satyam to consider changes at Board level

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Battered by the aborted twin Mytas firms' acquisition fiasco and an eight-year ban imposed by the World Bank on it, Satyam Computer Services is all set to undergo a major restructuring, course for which will be decided in the board's deferred meeting on January 10.

Amid speculation that there could be major changes in the management and that Chairman B Ramalinga Raju may quit over the controversy on acquisition of two firms promoted by his family, one independent director B S Raju today came out in support of the present regime.

"I am not looking for a change in management," BS told PTI on phone from Hyderabad, a day after the company announced to defer a crucial board meeting that was to be convened on Monday, December 29 to discuss enhancement of shareholders' value through buyback among others.

Even though independent directors of the IT giant are talking to each other informally, BS said, "Detailed discussions would be held at the Board meeting," but declined to take any query, including resignation of Chairman Raju.

Satyam has asked investment banker DSP Merrill Lynch to help review the company's options to enhance shareholders' value, while the Board would also look at issues arising from a possible dilution of promoter's stake.

Company officials, however, were tight-lipped over the issues, including the possibility of the change of management, and none elaborated on possible dilution of promoter stake, which was over 8.2 per cent by September end.

In a statement late last night, the company said the Board would also consider "measures to strengthen Satyam's governance structure including increasing the size and altering composition of the Board".