Processing .....please wait.. 
The article has been forwarded.... 
News >> Technology >>
TCS too in race for Hughes Software
By siliconindia
|
Monday, 12 April 2004, 19:30 IST
BANGALORE: Tata Consultancy Services ( TCS ) is learnt to have joined the race to acquire Hughes Software Systems, the Delhi-based telecom software services company, in which its existing promoters News Corp has invited bids to divest its entire 55 per cent stake, reports Economic Times.
The stage is now set for an aggressive fight between potential bidders for Hughes Software management control since several multinational firms, both strategic and financial investors, have shown interest in acquiring the company.
A TCS spokesperson, when contacted, stated that the company does not wish to comment on speculation. Sources familiar with the development said that TCS is pitching in with an aggressive bid since the company is keen to develop its telecom practice which already contributes to over 20 per cent of its total revenues with clients like British Telecom, Singapore Telecom and NTT of Japan.
They said that already five bids have come in for the deal while adding that merchant bankers have started inviting financial bids for the deal. They added that a few large multinational companies have targetted Hughes Software to enter the Indian market which would yield attractive valuations to the company.
News Corporation acquired a 55.4 per cent stake in Hughes Software in April 2003 as a part of its $6.6-billion acquisition of parent company Hughes Corporation in the US in April last year. Since telecom and software services do not fit in with News Corps core business strengths, the Rupert Murdoch-led company has put this business on block.