Satyam to pick 9% stake in In Touch of US

MUMBAI, SEPT 21: Satyam Computer Services will buy a 9.06 per cent stake in US firm In Touch Technologies (ITTL). The board of Satyam Com...

MUMBAI, SEPT 21: Satyam Computer Services will buy a 9.06 per cent stake in US firm In Touch Technologies (ITTL). The board of Satyam Computer has approved an investment of $2.5 million in the US company which makes software for telecommunications.

"Satyam has decided to make this strategic investment in ITTL with a view to access the company’s customer base," a company statement said on Tuesday. The US company is engaged in the development of computer telephony integration platform to bring cost effectiveness and flexibility to global telecom service providers, a Satyam statement said on Tuesday.

The company has three products, NetManager, CallManager and CallMonitor which are ready for the market while other derivative products are in the development pipeline, it said. "This is in line with the company’s overall strategy of making investments in companies engaged in providing state-of-the-art solutions to niche markets," it said.

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Analysts said the investment could help Satyam expand its range of software services from banking, retailing and manufacturing sectors. "It should help Satyam gain a foothold in the fairly remunerative US telecom software market," an analyst with a local brokerage said.

Satyam shares closed at Rs 38.40 higher at 1,007.40 on the Bombay Stock Exchange on Tuesday.