Tata Communications snapped an 8-day downdraft at the markets today

Tata Communications Ltd. snapped an 8-day downdraft on a media report that the company is in talks with global giants and private equity players to sell a majority control in its data centre in a bid to pare down debt.

The Economic Times reported on its front page that a clutch of companies led by Google and Amazon were in a bidding war for buying up to 74 percent stake in the data centre business for an estimated $700 million. PE investors Carlyle, Blackstone and KKR are among others in the fray for the unit that has 41 locations in India and overseas.

As a consequence, Tata Communications rose 12.50 rupees, or 3.1 percent, to 415 rupees on the National Stock Exchange, where 6 lakh shares were traded compared with a 5-day average of 3.05 lakh shares.

Tata Communications market capitalisation has gained 15 percent to 11,400 crore rupees in the past one year.
(Image credits: Indiatimes)