30 per cent stake of Eskom and Transnet to be being acquired by Tata Communications

Tata Communications has entered into an agreement with Eskom and Transnet (two South African state-owned enterprises) to acquire their 30 per cent interest in Neotel, the second telecommunications network operator in South Africa.

This agreement is subject to the fulfilment of certain conditions precedent, some of which have a period of up to 180 days to be fulfilled. The other shareholders of Neotel are Nexus, Communitel and Two Telecom Consortium. Upon the implementation of the agreement, Tata Communications together with Tata Africa would hold an effective 56 per cent stake in Neotel.

Forward-looking and cautionary statements
Certain words and statements in this release concerning the abovementioned companies, their prospects, their expected financial position, business strategy, future development of operations and the general economy in India, South Africa and Namibia are forward-looking statements. Such statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements of these companies, or industry results, to differ materially from those expressed or implied by such forward-looking statements. Such forward-looking statements are based on numerous assumptions regarding these companies’ present and future business strategies and the environments in which they operate.