Credit Agricole Indosuez plans to approach the Securities & Exchange Board of India (Sebi) for its intervention in any attempt by the company to place its shares in a private-placement deal with strategic financial investors. It is also learnt that other banks with an exposure to DSQ Software may also contemplate similar action, either independently or jointly.

The court observed that Credit Agricole Indosuez has made a prima facie case for winding up of DSQ Software when the bank filed a petition to the extent. It has adjourned the hearing to April 23.

The immediate casualty of the admission of the winding-up petition will be DSQ Software'sprivate-placement deal. Sources said that Credit Agricole may block the deal. "There can be no question of a change in the shareholding profile till the bank's dues of Rs 11.5 crore are repaid. Sebi will be sounded off on the issue," they added.

DSQ Software had called for extra-ordinary meeting of its shareholders on January 5 this year seeking approval to issue 75 lakh equity shares of Rs 10 each on a preferential basis to financial investors. The meeting also sought the shareholders' approval to increase the company's authorised capital to Rs 50 crore.

The company was reportedly in talks with Goldman Sachs and the American Insurance Group to privately place its stock amounting to 26 per cent at a price of around Rs 275 a share, but negotiations with both were called of after differences over voting rights.

Credit Lyonnais Securities Asia will now underwrite a smaller preferential issue of 4.5 lakh shares.