Lazard Assets and Swiss Finance have offload shares of Satyam Computer Services in bulk deals yesterday. Though there are media speculations about Lazards exit being linked with the fact that it did not get a board seat on Satyam, its lawyer has categorically denied this. Hitesh Jain, partner at ALMT Legal and the lawyer of Lazard, had said that Lazard had requested for involvement in the discussion and participation process. However the government and the new board of Satyam had not been in touch with Lazard.
Earlier Lazard which held 7.34 per cent in the Satyam sold off 5.34 per cent now hold roughly 2 per cent which, it may off load today.
On Thursday, Lazard Asset Management LLC A/C General Conference Corporat sold 24,400,000 shares at Rs21.74 a share and Swiss Finance Corporation (Mauritius) sold 6,000,000 shares at Rs21.36 a share of Satyam Computer Services at the National Stock Exchange (NSE).
Whereas on Bombay Stock Exchange (BSE), Lazard Asset Management LLC sold 11,341,553 shares at Rs21.71 a share and Swiss Finance Corporation Mauritius sold 4,889,000 shares at Rs21.58 a share of Satyam Computer Services.
Many large institutional investors such as Aberdeen International, Satyam's largest institutional investor, Fidelity and Morgan Stanley, sold large parts of their holdings in Satyam through bulk deals after Ramalinga Raju's disclosures.
LIC and L&T both hold around 4 per cent in the company. In a television interview the Chairman of LIC had not ruled out further purchase of shares of Satyam.
Who is buying the shares?
With Satyam in such a precarious condition, very few retail buyers may be interested in burning their hands with a new investment in Satyam, so the big question remains who is mopping up the shares of Satyam.
There is talk about breaking up the company into separate business units and selling them. This can be the work of a corporate raider or what your neighbourhood kabadi would do. Brake up a whole to get more value by selling the parts than a whole unit.
(See: Satyam's financial health )