TCDCL-STT (TAMASEK

HOLDING)JV

Singapore Technologies Telemedia

(STT-TCDC) Joint Venture

Singapore Technologies Telemedia (STT) has agreed to buy a majority stake

in some of prime data-centerbusinessowned by India'sTata
CommunicationsLtd., valuing those operations at about Rs 4130 crore
($616 million).

ST Telemedia, which is a unit of Singapore state-investment firm Temasek

Holdings (Private) Ltd., through its arm through ST Telemedia Global Data
Centers (STT GDC),will acquire a 74% stake in data centers inIndiaand
Singapore, while Tata Communications will hold the remaining 26% stake.

Tata Communications' 14 data centers in key cities across India -- Delhi,

Mumbai, Bengaluru, Chennai, Kolkata, Hyderabad and Pune -- and its three
Singapore facilities. In 2014, the Indian data center business of Tata
Communications was transferred to its wholly-owned subsidiary Tata
Communications Data Centers Private Ltd (TCDC)

Singapore Technologies Telemedia

(STT-TCDC) Joint Venture

Tata Communications, which owns the worlds largest undersea fibre

link, had total debt ofRs.9,595 crore. Shares of Tata Communications
fell 1.16% toRs.442.50

Tata Communications is one of the largest players in the data centre

business in India, with facilities across most commercial cities, according
to the companys annual report for 2014-15.

It also owns over 1 million square feet of data centre and co-location
space across 44 global locations and has eight partner sites across
Australia, Malaysia, Germany and the Netherlands, according to the
report.

Singapore Technologies Telemedia

(STT-TCDC) Joint Venture

For 9M FY16, managed services, including data centre operations,

contributed 31% or Rs 2407 crore of data services revenues, according
to a company's investor presentation dated April 2016.

Data Centres alone contributed Rs 650 crore revenues in the same 9

month period ending December 2015.

India is one of the fastest growing markets for cloud services in the
world, estimated to grow from $423 million in 2013 to $1.3 billion in
2017

Singapore Technologies Telemedia

(STT-TCDC) Joint Venture

These centers currently service a highly-diversified customer base,

including blue chip enterprises in Asia, e-commerce platforms and global
multi-national corporations.

With this acquisition, STT GDC is poised to become one of the largest
Asian-headquartered data center companies

Tata Communications will retain a stake in the colocation marketin

these important markets, while honing its focus on the development and
introduction of its advanced managed services portfolio (including IP,
cloud enablement and unified communications services).