Satyam Given the Go-Ahead

SEBI has approved plans for fraud-hit IT firm Satyam to sell a 51% stake as it seeks to win back clients and restore customer confidence.

As per the reports IBM and Indian engineering firm Larsen & Toubro are frontrunners for the stake.Satyam has struggled since former boss Ramalinga Raju admitted inflating their assets by more than $1bn.Shares in Satyam already jumped 18% after the company's state-appointed board got approval to sell the majority holding.

Satyam had lost more than 80% of its market value following the CEO's confession in January.The auction for the stake will be global and potential buyers who would need to have assets of at least $150m.The buyer then would not be able to sell its stake for at least three years, Satyam said in a statement.

Satyam had been one the biggest players in the booming Indian IT software market, supplying back-office services to firms from around the world.