Asserting that only action could determine the sale price for Satyam, Modi said that stock market price could not be considered a benchmark in this case, as the market was not fully aware about the firm's actual assets and liabilities.
"The auction will determine the price... Why you require a reserve price ... reserve price will only create controversy," Modi told a TV news channel over phone from the US.
Besides Modi group, domestic engineering major L&T and Hinduja group are also interested in acquiring Satyam. A board member of L&T, which has already purchased about 12 per cent stake in Satyam from open market, said that the company was waiting for Satyam board's decision on pricing mechanism to consider its next step.
Earlier this month, the Company Law Board allowed Satyam's Government-appointed board to go-ahead with a public auction plan to bring in new owners for the company.
"What is the indicative figure...books are not there. It cannot be the market, because market is not even aware what are the assets and liabilities of the company," Modi said.