Mindtree’s large shareholders on Subroto Bagchi’s side in hostile takeover battle with L&T, reveals CEO

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Updated: March 26, 2019 11:49:10 AM

Even as Mindtree mulls various strategies to fend off L&T's hostile takeover bid including a share buyback, CEO Rostow Ravanan says that there has been an extensive outpouring of support for institutional shareholders including Nalanda, Amansa and Vanguard.

Mindtree shares, L&T Infotech, Shares of Larsen and Toubro, stock of Mindtree, BSE, latest news mindtreeAccording to Ravanan, the investors have recognised that Mindtree is a high performing organisation.

Even as Mindtree mulls various strategies to fend off L&T’s hostile takeover bid including a share buyback, CEO Rostow Ravanan says that there has been an extensive outpouring of support for Mindtree minds from large institutional shareholders including Nalanda, Amansa and Vanguard. “Nalanda Capital, our biggest shareholder recognises that Mindtree has created exceptional value for all our stakeholders. That is the construct and vision of what we are following, as well as a culture that Mindtree has. We hope that culture is not disturbed, so that the output to clients is not disturbed,” Rostow Ravanan said in an interview to ET Now. 

According to Ravanan, the investors have recognised that Mindtree is a high performing organisation, great management team and they have also recognised that financial performance is a function both of strategy and culture and therefore any disturbance to either strategy or culture will then lead to differences in performance, he told CNBC TV18. 

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Even as the buzz around L&T’s open offer gets louder, Rostow Ravanan said that Mindtree has not received any direct bid from L&T. “We have not heard anything from L&T at this stage. Everything has been played out by the media. As and when a communication comes from them directly, we will have to look at the merits, and take a decision,” he told ET Now. 

Reiterating that the promoters do not have any differences with the board and other stakeholders, he said that while he’s a promoter,  he doesn’t really behave like one. “I don’t even have a designated parking space in the office. Our feelings is less as promoters, and I want to make that distinction clear,” he said. 

On L&T’s contention that Mindtree will continue to operate as an independant firm, Ravanan said that Mindtree can respond to L&T only if they formally approach them. “I do not want to lend credence to a lot of false reporting around the issue,” he said on L&T leaving Mindtree as an independent firm.

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