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IT industry's first hostile bid has created high drama

Hostile takeover bids are a rare occurrence in Indian corporate culture. For the software services industry, which is a relatively young industry, rival promoter-CEOs have been extremely cordial and friendly with one another. The reporting, disclosures and corporate governance standards of software companies are generally good, so a buyer would have the comfort of there not being skeletons in the closet. While there have been deals in listed software companies, Larsen & Toubro’s attempted takeover of Mindtree is the first hostile one. The Mindtree promoters have opposed Larsen & Toubro’s bid to acquire 67 per cent in their company, calling