Tuesday, April 7, 2009
Satyam- The winner's curse
Looks very likely that LandT will be saddled with the company. What a vain move!! Tech Mahindra and LandT seem to be in the race, apart from the P/E (vulture??) fund of some Wilbur Ross. Whoever wins, will have a huge explanation to their shareholders. Would love to go short on the winner of Satyam. The winner will end up with a bunch of employees who were in the know of all the dirty things and kept quiet. How will you manage to run the business with integrity? It is a matter of time before customers ditch the company. Only those have on-going work or project will stick on till completion due to cost and time issues. After that, if I were a customer, I will not look at Satyam. Surely there are other companies out there and with the environment of gloom over the globe, switching away will also save some money.