September 16, 2013

Press Release No. 1

News about HCL Infosystems Limit and HCL Technologies Limited

The media had reports that HCL Infosystems is in process to merge its system integration and services business with HCL Technology.

The Exchange, in order to verify the accuracy or otherwise of the information reported in the media and to inform the market place so that the interest of the investors is safeguarded, had written to the companies.

HCL Infosystems Limited has vide its letter inter-alia stated, "No such merger matter is currently under consideration of the Board of the Company.

Further In clarification, we would like to confirm that HCL lnfosystems and HCL Technologies have been collaborating together under teaming agreements to address business opportunities in India.

These agreements are on arms length basis in the best interest of HCL & its customers and not margin dilutive to HCL lnfosystems."

HCL Technologies Limited has vide its letter inter-alia stated, "No proposal to merge HCL Infosystems Limited or its systems integration and services business with HCL Technologies Limited is under consideration by the Board of HCL Technologies Limited. Both these entities have been teaming on specific opportunities in India. In these cases they have been cross selling each other's services over the last 2 years. HCL Technologies Limited derived about 5% of its revenue from India during FY 13. It is expected that the revenue from India during FY 14 would remain at similar level. The arrangement with HCL Infosystems Limited did not have any impact on the margins in the past; it is not expected to have any impact on the margins going forward."