Troubled Indian outsourcer Satyam Computer Services said on Tuesday it has filed an application for delisting its American Depositary Shares (ADS) from NYSE Euronext, the regulated market of Euronext Amsterdam, while maintaining its listing on other stock exchanges.
On careful consideration of the advantages and disadvantages of its listing on Euronext Amsterdam, the board of directors of the company has concluded that the financial and legal burdens of a listing no longer justify a place on the Euronext Amsterdam, Satyam said.
The application for delisting is subject to the approval of Euronext Amsterdam.
On delisting from Euronext Amsterdam, Satyam's equity shares are expected to remain listed and traded on the Bombay Stock Exchange and the National Stock Exchange of India, while its ADS are expected to remain listed and traded on the New York Stock Exchange. The company does not currently intend to delist from any of these exchanges, it added.
Satyam is facing class action suits in the U.S. from investors.
Its board announced on Tuesday that another Indian outsourcer, Tech Mahindra, had emerged as the highest bidder for a 51 percent stake in the company. Tech Mahindra's bid requires the approval of the Company Law Board of the Indian government.
The company went into a financial crisis in January after its founder B. Ramalinga Raju said that the company's profits were inflated for several years.