Tata Communications shares in focus after unit buys 51% stake in US-based AI firm for ₹227 crore

Shares of Tata Communications Ltd. are in focus on Tuesday, December 2, after the company informed the stock exchanges that its wholly-owned subsidiary, Tata Communications (Netherlands) BV, has acquired a 51% stake in Commotion Inc for $25.5 million or around ₹227 crore on a fully diluted basis.

The acquisition has been done on a fully-diluted basis through a combination of purchase of stock from existing shareholders and capital investment in Commotion Inc.

Out of the total consideration of $25.5 million, $15.5 million will be used towards purchase of stock from the founders and other external investors of Commotion Inc., while the remaining $10 million will be a capital investment in the company.

Commotion Inc. enables enterprises to deliver personalised, real-time customer experiences through its proprietary AI solutions. The platform provides advanced capabilities in Voice AI, omnichannel CX automation and autonomous digital agents, helping businesses automate complex processes, deliver personalised engagement at scale and drive continuous innovation across customer-facing and internal functions.

This acquisition is expected to strengthen Tata Communications' customer interaction suite portfolio by integrating agentic AI and orchestration capabilities, enabling the company to deliver more intelligent, automated and personalized customer segment solutions.

The acquired company also has a subsidiary in India and delivers enterprise solutions through its proprietary software, Tata Communications said. These offerings enable organisations to orchestrate intelligent, real-time interactions and streamline engagement across digital touchpoints, it added.

The company made a revenue of $118,750 or ₹1.06 crore in the calendar year 2024. The acquisition was completed on December 1, 2025.

Shares of Tata Communications Ltd. ended the previous session 1.4% up at ₹1,840 apiece. The stock has gained 9.8% in the last six months.

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