KSSF invests in Sify for expansion and sustainability

KSSF will invest up to INR 1,000 crore (USD 135 million) in Sify Infinit Spaces Limited (SISL), a subsidiary of Sify.

The investment from KSSF will be in the form of Compulsorily Convertible Debentures, developing new data centers across Mumbai, Noida, Chennai, Bangalore and Hyderabad. According to the company, the investment will also be used for “renewable energy requirements” for its current and future facilities ( up to INR 4,000 crore (USD 530 million).

Raju Vegesna, Chairman and Managing Director, Sify, said, “India is set for significant economic growth and is becoming the first choice destination for both global businesses and investors. India is witnessing the rise of Information technology-driven entrepreneurship and business growth. The current capacity of the Data Centre industry in India is expanding at an unprecedented pace, powered by wider cloud adoption, 5G rollout and accelerated digital transformation programmes of enterprises. We are delighted to partner with KSSF as a part of this journey to build world-class Data Centre facilities for our customers to benefit from the large scale digital transformation of India.”

Meanwhile, Srini Sriniwasan, Managing Director, Kotak Investment Advisors Limited, said: “We are delighted to partner with Sify to build out the Data Centre capacity in India and contribute to the goal of a digitally savvy India, based on the strength of Sify’s entrepreneurial capabilities and experienced management team.”

Adding: “Data Centres are at the core of the country’s Digital India ambition, and we believe that with vibrant entrepreneurship in the digital space, rich media consumption by an exploding well-connected population and increasing requirements for local storage of data, India’s Data Centre sector is a long term secular opportunity.”