Satyam Computer Services Ltd (Satyam) has announced that, on receipt of incoming investments into Satyam Infoway (SIFY) from an arm of Soft Bank Asia Infrastructure Fund (SAIF) and Venture Tech, its current nominees on SIFY's Board of Directors, Ramalinga Raju and Srini Raju would be replaced by V Srinivas, CFO of Satyam and K Thiagarajan, Director & Senior Vice President (Corporate Strategy) of Satyam. The reconstitution of SIFY Board is consequent to the dilution of stake of existing shareholders through fresh investment of $20 million by an arm of SAIF and Venturetech as already announced earlier.
The above changes relating to Satyam nominees were approved by the Board of Directors of SIFY on December 9, 2002 and would take effect on receipt of the investments from the new investors.
Ramalinga Raju, Chairman, Satyam Computers stated, "Even as I step down from the Board of SIFY, I am heartened and gratified at having played a part, along with the SIFY team, in promoting and building SIFY to a leadership position in the Internet space, with several pioneering initiatives. With the changes in the market place and renewed strategic focus, I believe SIFY is in a better position today than ever before to achieve profitability at an early date. With the funding SIFY will receive, Satyam's stake in SIFY will go down to 35 percent and as we indicated to our shareholders and to signal our intent to play a more passive role, I am stepping down. I am sure that our new nominee directors, along with other distinguished members of SIFY's board, will play a constructive role in shaping SIFY's future.
Cyber News Service