AT&T stake sale won't impact business: Tech Mahindra

28 Apr 2010

AT&T has sold a 7 per cent stake in Tech Mahindra via a block deal to Life Insurance Corporation of India (LIC), which already holds nearly 7 per cent in the IT major. With this, AT&T stake in Tech Mahindra has come down to 1 per cent.

The Tech Mahindra stock fell 6 per cent on news of this block deal. But, since then, it has recovered and is trading at Rs776.25, down Rs28.7, or 3.57 per cent in afternoon trade.

In an exclusive interview to CNBC-TV18, Vineet Nayyar, vice-chairman, Tech Mahindra, said he was not aware about AT&T selling stake in Tech Mahindra. "We only know that the buyer of the deal is LIC."

He added that the company's business relation with AT&T is very strong. "The stake sale does not impact business in any way."

Below is the transcript of Vineet Nayyar's interview with CNBC-TV18:

Can you confirm for us that AT&T has almost exited Tech Mahindra and LIC is indeed a buyer?