MUMBAI, India (AP) — India's Tech Mahindra says it will take full ownership of its Satyam subsidiary to create India's fifth largest outsourcing company.
Satyam Computer Services nearly collapsed in 2009 in one of the largest frauds in Indian corporate history. Tech Mahindra then bought a stake and renamed it Mahindra Satyam.
The boards approved the deal Wednesday. The enlarged company will have revenue of $2.4 billion and over 75,000 employees.
Investors will get two shares of Tech Mahindra for every 17 shares of Mahindra Satyam.
The takeover requires shareholder and regulatory approval.