ST Telemedia to take 74% stake in Tata Comms' datacentre biz
Singapore Technologies Telemedia (ST Telemedia) has unveiled plans to acquire a 74 percent stake in Tata Communications' datacentre businesses in India and Singapore, which include 17 facilities in both countries.
The deal would be made through ST Telemedia Global Data Centres (STT GDC) and would see Tata Communications remaining as a shareholder, with a 26 percent in the business, according to a statement released Thursday.
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The agreement would encompass 14 data centres across major Indian cities, including Delhi, Mumbai, Bengaluru, and Hyderabad, as well as three in Singapore, where the facilities support a clientele that included MNCs and e-commerce operators.
Following the completion of the acquisition, STT GDC said it would continue to expand its datacentre footprint globally including India and China.
Tata Communications' managing director and CEO, Vinod Kumar, said: "This new joint venture partnership will now allow us to hone our strategic focus on advanced services within the data centre that enable digital transformation for our customers, in addition to infrastructure services.
"Our new partnership also gives us the opportunity to redeploy capital behind other areas of our business, to further broaden the portfolio of services we can offer to meet our customers' current and future requirements," Kumar added.