Satyam Proceeds With IndiaWorld Acquisition

Satyam Infoway Ltd., India’s largest private sector ISP, is going ahead with its proposed acquisition of IndiaWorld Communications Private Ltd. (ICPL), despite the alleged trademark infringement by the owners of IndiaWorld.com.

Satyam (SIFY) is likely to explore the possibility of taking the
ADR route again or private placement route to fund the second step of its US$115 million acquisition.

R. Ramaraj, managing director of Satyam said that the company has the required three-year profit track-record, leaving open the option of having IndiaWorld listed on the Indian bourses.

Satyam could
also
consider issuing bonds, and if regulations governing IPOs in India
changed,
the firm could also offer its own shares on the domestic market, he added.

The company said that there was no dispute regarding the Internet domain address www.indiaworld.co.in or the popular sites operated by ICPL including samachar.com, khoj.com, khel.com and bawarchi.com. However, there is a dispute regarding the service mark “IndiaWorld”.

The current owners of ICPL have assured Satyam that no infringement has taken place to date, says an official statement issued by the company.