Satyam to Acquire Maytas Infra and Maytas Properties

• Move signals greater diversification strategy

HYDERABAD, India, December 16, 2008: Satyam Computer Services Ltd. (NYSE:SAY), a leading business and information technology services provider, today announced that its Board of Directors has approved proposals to acquire a 100% stake in Maytas Properties and a 51% share in Maytas Infra.

Maytas Infra is engaged in infrastructure construction and asset development in core areas of India's economic growth, including highways, metro/railways, ports, transport management systems, airports, power, oil & gas, irrigation, and water treatment, among other areas. The 23-year old company's innovative business model and track record of delivering excellence has helped it capturing a strategic and significant share of the infrastructure market.

Maytas Properties Ltd is a scale player in development of urban space infrastructure such as master planned integrated townships, special economic zones, hospitality, retail and entertainment spaces meeting the enormous and rapidly growing need for high quality spaces in India’s tier 1 and tier 2 cities. Maytas Properties is uniquely positioned in this sector to create value based on its own large and strategically located landbanks, its strong brand, and its technology alliances.

Maytas Properties and Maytas Infra together completely address the developmental infrastructure space which continues to be a high growth area in the current economic environment.

"The two acquisitions pave the way for accelerated growth in our core IT business in additional geographies and market segments such as transportation, energy and several infrastructure sectors," said Satyam Chairman and Founder B. Ramalinga Raju. "This will further de-risk our core IT business by adding a new – yet well-established – business vertical in infrastructure. This vertical can mitigate the risks in traditional verticals and developed markets that now face recession, and Satyam’s brand can further enhance penetration into the infrastructure vertical and emerging markets. The two companies being acquired in a challenging market offer potential for upside in future."

The total outflow for both the acquisitions is expected to be US$ 1.6 bn, consisting of US$ 1.3 bn for the 100% stake in Maytas Properties and US$ 0.3 bn for the 51% stake in Maytas Infra. The acquisition of Maytas Properties will be immediate. With Maytas Infra, Satyam will acquire 31% from the promoters and make an open offer for an additional 20% from the public given that the company is a listed entity on the domestic stock exchanges. While the price proposed to be paid to promoters is Rs. 475 per share, the price for the open offer has been approved to be Rs.525 per share and is subject to change in line with SEBI regulations.

Satyam reiterates its commitment to the global IT-enabled business and services industry. The company will continue to invest in IT capabilities and in strengthening its partnerships with customers worldwide.

Mr.Raju added, "We are confident that the combined entity will deliver greater value to shareholders in an otherwise challenging environment. We are also convinced that the integrated organization will be stronger and more diversified to deal with market uncertainty."

Conference Call

Satyam management will host a conference call today, December 16, 2008, at 7:00 p.m. IST to discuss the acquisition. To participate in the conference call, domestic callers can dial 022 66295728 or 022 40392728 and international callers can dial +1 8667462133 and ask for the Satyam Call.

A replay will be available by dialing 022 30651212 for domestic callers and +1 8773447529 (toll free) and +1 4123170088 for international callers and entering "8584#" from two hours after the
end of the call, until one week.#

Safe Harbor

This press release contains forward-looking statements within the meaning of section 27A of Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements. Satyam undertakes no duty to update any forward-looking statements. For a discussion of the risks associated with our business, please see the discussions under the heading “Risk Factors” in our report on Form 6-K concerning the quarter ended September 30, 2008, furnished to the Securities and Exchange Commission on 07 November, 2008, and the other reports filed with the Securities and Exchange Commission from time to time. These filings are available at http://www.sec.gov.

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