Mindtree, which was taken over in a hostile by Larsen and Toubro said it would reconvene its board meeting on March 26. The board meeting held on Wednesday was deferred on a decision to share buyback, calling commercial and legal issues. On Thursday some of the company directors recommended to the MindTree founders to consider L&T’s offer and negotiate for a higher price of its shares.
“Emotional appeal and large animosity displayed are not going to help their case when L&T said the company can be run independently.” Mindtree CEO Rostow Ravanan on Wednesday told that the board had deferred the decision on the buyback and had sought details on the legal process and commercial details.
On Monday, L&T bought a 20.3% stake in MindTree from long-term investor VG Siddhartha for Rs 3,269 crore. It is expected to spend another Rs 7,464 crore to increase its stake to 66.6% through a combination of an open offer and buying shares in the open market.
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