GE deal to stay with Mahindra Satyam for 3 yrs

1,500 People To Work On Project THE US-based conglomerate General Electric (GE) has extended its multi-million dollar contract with Mahindra Satyam for three years starting January 1, 2010, giving a boost to the IT firm, which has started winning new outsourcing deals.      Mahindra Satyam, which also counts Citigroup, Glaxo-SmithKline (GSK), Cisco Systems and Nissan, among its clients, is one of the top three vendors for GE. Its contract with GE has been for over a decade now in specialised areas of development, maintenance, business intelligence and engineering services.      Around 1,500 employees will work on the GE deal. "GE recognises the support extended over the years by Mahindra Satyam, and their commitment to delivery excellence, even during trying times," said Steve Morrison, GDC leader of GE.      GE has signed a similar contract with 11 other vendors. "The extension is a testimony to the commitment our associates have demonstrated and truly symbolises the value we have been able to add through our services," said Arvind Malhotra, global account executive of Mahindra Satyam.      Harit Shah, IT analyst Angel Broking, sees GE's decision to extend the contract as a vote of confidence on the new management at Mahindra Satyam. Two months ago, global pharma major GSK extended its contract with Mahindra Satyam for five years to provide SAP and other critical systems support. Satyam had been working with GSK since 2002 in providing IT services.      The US-based OC Tanner — a human resource consulting and services company — followed suit. Last week, the firm renewed its contract with Mahindra Satyam to providing application development services to the US-based company. Over the past four months, Mahindra Satyam, earlier known as Satyam Computers, is reported to have gained over 32 new customers, including some large clients. It has around 430 clients now.  Tech Mahindra  issues NCDs  MUMBAI: TECH Mahindra, which acquired the scam-hit Satyam Computer Services earlier this year, has issued redeemable non-convertible debentures (NCD) to various investors garnering Rs 300 crore. The NCDs are for tenures of 12, 18, 24 and 30 months, carrying a coupon rate ranging from 7.25% (for 12 months) to 8.85% (for 30 months). The funds will be used to retire high-cost debt the company had taken to fund its Satyam acquisition. The company had raised Rs 2,380 crore to fund its acquisition, of which Rs 875 crore was through a combination of NCDs and CPs.