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<SEC-DOCUMENT>0000950134-05-023792.txt : 20051223
<SEC-HEADER>0000950134-05-023792.hdr.sgml : 20051223
<ACCEPTANCE-DATETIME>20051223140549
ACCESSION NUMBER:		0000950134-05-023792
CONFORMED SUBMISSION TYPE:	6-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20051220
FILED AS OF DATE:		20051223
DATE AS OF CHANGE:		20051223

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			SIFY LTD
		CENTRAL INDEX KEY:			0001094324
		STANDARD INDUSTRIAL CLASSIFICATION:	SERVICES-COMPUTER PROGRAMMING, DATA PROCESSING, ETC. [7370]
		IRS NUMBER:				000000000
		FISCAL YEAR END:			0331

	FILING VALUES:
		FORM TYPE:		6-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-27663
		FILM NUMBER:		051284964

	BUSINESS ADDRESS:	
		STREET 1:		TIDEL PARK, 2ND FLOOR
		STREET 2:		NO. 4, CANAL BANK ROAD, TARAMANI
		CITY:			CHENNAI 600 113
		STATE:			K7
		BUSINESS PHONE:		91442540770

	MAIL ADDRESS:	
		STREET 1:		TIDEL PARK, 2ND FLOOR
		STREET 2:		NO. 4, CANAL BANK ROAD, TARAMANI
		CITY:			CHENNAI 600 113
		STATE:			K7

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	SATYAM INFOWAY LTD
		DATE OF NAME CHANGE:	19990901
</SEC-HEADER>
<DOCUMENT>
<TYPE>6-K
<SEQUENCE>1
<FILENAME>f15775e6vk.htm
<DESCRIPTION>FORM 6-K
<TEXT>
<HTML>
<HEAD>
<TITLE>e6vk</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>




<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>United StatesSecurities and Exchange Commission</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>Washington, DC 20549</B>
</DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>FORM 6-K</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 12pt"><B>Report of Foreign Private Issuer<BR>
Pursuant to Rule&nbsp;13a-16 or 15d-16 of the Securities Exchange Act of 1934</B>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Date of
Report (Date of earliest event reported): <br>December&nbsp;20, 2005</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">Commission File Number 000-27663</DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B>SIFY LIMITED</B>
</DIV>

<DIV align="center" style="font-size: 10pt">(Exact name of registrant as specified in its charter)</DIV>



<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Not Applicable<BR>
(Translation of registrant&#146;s name into English)
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Republic of India<BR>
(Jurisdiction of incorporation or organization)
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">Tidel Park, Second Floor<BR>
No.&nbsp;4, Canal Bank Road, Taramani<BR>
Chennai 600 113, India<BR>
(91)&nbsp;44-254-0770<BR>
(Address of principal executive offices)
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant files or will file annual reports under cover Form
20-F or Form 40-F. Form&nbsp;20F &#091;X&#093; Form&nbsp;40 F &#091; &#093;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant by furnishing the information contained in this Form
is also thereby furnishing the information to the Commission pursuant to Rule&nbsp;12g3-2(b) under the
Securities Exchange Act of 1934. Yes &#091; &#093; No &#091;X&#093;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">If &#147;Yes&#148; is marked, indicate below the file number assigned to registrant in connection with Rule
12g3-2(b). Not applicable.
</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>





<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<P><HR noshade><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<!-- TOC -->
<A name="toc"><DIV align="CENTER" style="page-break-before:always"><U><B>TABLE OF CONTENTS</B></U></DIV></A>

<P><CENTER>
<TABLE border="0" width="90%" cellpadding="0" cellspacing="0">
<TR>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="76%"></TD>
</TR>
<TR><TD></TD><TD colspan="8"><A HREF="#000">Item&nbsp;1.01. Entry into a Material Definitive Agreement.</A></TD></TR>
<TR><TD></TD><TD colspan="8"><A HREF="#001">Item&nbsp;8.01. Other Events.</A></TD></TR>
<TR><TD></TD><TD colspan="8"><A HREF="#002">Item&nbsp;9.01. Financial Statements and Exhibits.</A></TD></TR>
<TR><TD colspan="9"><A HREF="#003">Signatures</A></TD></TR>
<TR><TD colspan="9"><A HREF="f15775exv99w1.htm">EXHIBIT 99.1</A></TD></TR>
</TABLE>
</CENTER>
<!-- /TOC -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>




<!-- link2 "Item&nbsp;1.01. Entry into a Material Definitive Agreement." -->
<DIV align="left"><A NAME="000"></A></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;1.01. Entry into a Material Definitive Agreement.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">On December&nbsp;20, 2005, Sify Limited (&#147;Sify&#148;) entered into a Shareholders&#146; Agreement (the
&#147;Agreement&#148;) with Infinity Satcom Universal (P)&nbsp;Limited (&#147;Infinity Satcom&#148;) and Safescrypt Limited,
a wholly owned subsidiary of Sify (&#147;Safescrypt&#148;). Pursuant to the Agreement, Sify will sell
4,680,000 shares of Safescrypt&#146;s capital stock, representing a 26% equity interest in Safescrypt,
to Infinity for approximately $3.1&nbsp;million in cash. In addition, Sify will transfer its virtual
private network services business to Safescrypt (the &#147;VPN Services Transfer&#148;) at a valuation of
approximately $11.1&nbsp;million. The valuation was arrived at based
on third party appraiser&#146;s opinion. Sify&#146;s audit committee approved the VPN Services Transfer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Infinity Satcom is owned by Anand Raju, who is the brother of Raju Vegesna. Raju Vegesna is the
Chairman of Sify&#146;s Board of Directors and the principal of Infinity Capital Ventures, LP (&#147;Infinity
Capital&#148;). Infinity Capital owns approximately 32% of Sify&#146;s outstanding equity shares and, upon
the terms and subject to the conditions set forth in a Subscription Agreement dated November&nbsp;10,
2005 (the &#147;Subscription Agreement&#148;) with Sify, may purchase additional equity shares or ADSs from
Sify.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The foregoing description of the Agreement is qualified in its entirety to the full text of the
Agreement, which is attached hereto as Exhibit&nbsp;99.1.
</DIV>
<!-- link2 "Item&nbsp;8.01. Other Events." -->
<DIV align="left"><A NAME="001"></A></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;8.01. Other Events.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">At the extraordinary general meeting held on December&nbsp;23, 2005, Sify&#146;s stockholders approved (i)&nbsp;an
increase in Sify&#146;s authorized capital to Rs. 500&nbsp;million divided into 50,000,000 equity shares of
Rs. 10 each and a related change to Sify&#146;s Memorandum of Association, (ii)&nbsp;the issuance of up to
11,700,000 equity shares, ADSs or other securities and (iii)&nbsp;the VPN Services Transfer. Of the
securities approved for issuance, it is expected that Sify will issue 6,720,260 ADSs to Infinity
Capital pursuant to the Subscription Agreement.
</DIV>
<!-- link2 "Item&nbsp;9.01. Financial Statements and Exhibits." -->
<DIV align="left"><A NAME="002"></A></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Item&nbsp;9.01. Financial Statements and Exhibits.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(c)&nbsp;Exhibits.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="90%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">99.1</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Shareholders&#146; Agreement, dated December&nbsp;20, 2005, by and among
Sify Limited, Infinity Satcom Universal (P)&nbsp;Limited and Safescrypt Limited.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt">2
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<!-- link1 "Signatures" -->
<DIV align="left"><A NAME="003"></A></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Signatures</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly
caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Date: December&nbsp;23, 2005
</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">SIFY LIMITED<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ R. Ramaraj
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">R. Ramaraj&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Chief Executive Officer<br>
&#038; Managing Director&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt">3
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>f15775exv99w1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<HTML>
<HEAD>
<TITLE>exv99w1</TITLE>
</HEAD>
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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">




<DIV align="right" style="font-size: 10pt; margin-top: 12pt">Exhibit&nbsp;99.1
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SHAREHOLDERS&#146; AGREEMENT, dated December&nbsp;20, 2005 (this &#147;<U>Agreement</U>&#148;), by and
between:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;Sify Limited, a company incorporated under the laws of India and having its principal
office at Tidel Park, 2<SUP style="font-size: 85%; vertical-align: text-top">nd</SUP> Floor, No.4 Canal Bank Road, Taramani, Chennai &#150; 600113
(&#147;<U>Sify</U>&#148;);
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;Infinity Satcom Universal (P)&nbsp;Limited, a company incorporated under the laws of India and
having its principal office at Flat No 104, Lakshmi Apartments, RB Shreeram Layout, Waltair
Uplands, Vishakapatnam 530 003 (<U>&#147;ISU&#148;</U>).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;Sify Communications Limited, a company incorporated under the laws of India and having its
principal office at Tidel Park, 2<SUP style="font-size: 85%; vertical-align: text-top">nd</SUP> Floor, No.4 Canal Bank Road, Taramani, Chennai -
600113 (<U>&#147;Company&#148;</U>)
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WHEREAS,
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(A)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company has an authorized share capital of Rs. 200 Million (Rupees Two Hundred
Million) and a Subscribed and Paid Up Capital of Rs. 180 Million (Rupees One Hundred and
Eighty Million), comprising of 18,000,000 shares of Rs. 10 each;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(B)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Sify is the 100% holding company of the Company and has agreed to sell 4,680,000
Shares constituting 26% of the total;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(C)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>ISU has agreed to purchase 4,680,000 shares constituting 26% of the issued, allotted,
subscribed and outstanding share capital of the Company;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(D)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Sify shall on obtaining requisite shareholder approval transfer its current VPN
business to the Company at a valuation of Rs. 500&nbsp;million (Rupees Five Hundred Million),
as valued by M/s Deloitte Haskins and Sells with effect from January&nbsp;1, 2006;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(E)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company will be engaged in the business of providing, amongst others, VPN
services and National and International Long Distance Internet telephone services which
under the present regulations of the Government of India stipulate that not more than 74%
percent of the issued, allotted, subscribed and outstanding share capital of the Company
shall be held by Non Residents including overseas corporate
bodies and also companies incorporated in India in which the majority shares are
held by such Non Residents and overseas corporate bodies;
</TD>
</TR>
</TABLE>
</DIV>
<p>&nbsp;<br>
<p>&nbsp;<br>
<p>&nbsp;<br>

<P align="center" style="font-size: 8pt">Confidential
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


</TABLE>
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(F)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The parties have agreed that, as long as the regulations of the Government of India
provides for the Company to have shareholders in the Company providing VPN, INLD and NLD
telecom services should not have more than 74% of issued, allotted, subscribed and
outstanding share capital of the Company held by Non Residents and overseas corporate
bodies or Indian companies in which majority shares are held by such Non residents and
Overseas corporate bodies, ISU will continue to hold and maintain the above 26% equity
shares in the Company and consequently the shareholdings by SIFY in the Company together
with any other shares held by any Non Resident or overseas corporate body shall not exceed
74%; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(G)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>ISU has also agreed that in the event ISU decides to transfer or otherwise deal with
the 26% shares or any part thereof held by ISU in the Company at any time during the
operation of the above regulations requiring the holding of at least 26% shares by
resident Indians, ISU shall transfer such shares with all legal and beneficial interest
only to persons similarly qualified to hold shares to ensure compliance of the applicable
regulations with prior intimation to and approval of the Board of the Company.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth herein and
for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the
parties hereto agree as follows:
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE I
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>DEFINITIONS</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <U>Definitions. As used in this Agreement, and unless the context requires a
different meaning, the following terms have the meanings indicated:</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Agreement</U>&#148; means this Agreement as the same may be amended, supplemented or modified
in accordance with the terms hereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Board</U>&#148; means the Board of Directors of the Company.
</DIV>

<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Charter Documents</U>&#148; means Memorandum and Articles of the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Directors</U>&#148; means the directors of the Company whose names appear on the register of
directors of the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Equity Shares</U>&#148; means the ordinary equity shares, par value Rs.10 per share, of the
Company as subdivided, consolidated or converted from time to time.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Governmental Authority</U>&#148; means the government of any nation, state, city, locality or
other political subdivision thereof, any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>ILD</U>&#148; means International Long Distance Telephone services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>NLD</U>&#148; means National Long Distance Telephone services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Person</U>&#148; means any individual, corporation, company, partnership, limited liability
company, joint venture, association or trust of any other entity or organization.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Regulations</U>&#148; means rules, regulations and directions issued by Government Authorities
from time to time in regard to holding of the Shares in the Company undertaking VPN, ILD or NLD
telecom services.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Shareholders</U>&#148; means the shareholders of the Company whose names appear on the
register of members of the Company and initially SIFY and ISU.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>Transaction Documents</U>&#148; means Board Resolution and Share Certificate of the Company as
referred to in 2.2(ii) below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&#147;<U>VPN</U>&#148; means Virtual Private Network.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE II
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>SALE OF EQUITY SHARES</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <U>Sale of equity Shares</U>. Upon the terms and subject to the conditions
herein set forth and subject to the terms of the Regulations, Sify agrees to sell to ISU, free and
clear of all Encumbrances (other than Encumbrances resulting
from actions of ISU), and ISU agrees to purchase and take the legal and beneficial interest of
4,680,000 Equity Shares in the Company in consideration for the Subscription Price set out in this
Agreement.
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <U>Sale Price</U>. The consideration payable by ISU for the Sale Shares shall
be Rs. 139.81 Million (Rupees One Hundred thirty nine million and Eighty one thousand) payable in
cash in immediately available funds and against the receipt of the price Sify shall transfer the
Sale Shares.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3
ISU has deposited the entire Subscription Price Rs. 139.81&nbsp;million in terms of
this Agreement with Sify as on December&nbsp;20, 2005 and Sify has delivered the Share Certificates
pertaining to the said Shares to ISU
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 The Company and SIFY represents and warrants the following:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;the Company and its Board of Directors have passed a resolution for
recording of the transfer of 4,680,000 shares held by Sify to ISU;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;the Company shall deliver to ISU a certified true copy of such resolution
of the Board along with the Share Certificate recording such transfer.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE III
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>REPRESENTATIONS AND WARRANTIES OF THE COMPANY</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company hereby represents and warrants to ISU and acknowledges that ISU in entering into
this Agreement and acquiring the Sale Shares on the following representations and warranties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 <U>Corporate Existence and Power</U>. The Company (a)&nbsp;has been duly
incorporated and is duly organized and validly existing under the laws of its relevant
jurisdiction of incorporation; (b)&nbsp;has all requisite power and authority to own and operate
its property, to lease the property it operates as lessee and to conduct the business in
which it is currently, or is proposed to be, engaged; (c)&nbsp;is duly qualified as corporation,
licensed and in good standing under the laws of each jurisdiction in which its ownership,
lease or operation of property or the conduct of its business requires such
qualification and (d)&nbsp;has the corporate power and authority to execute, deliver and
perform its obligations under this Agreement;
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>
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<DIV style="font-family: Helvetica,Arial,sans-serif">





<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 <U>Authorization; No Contravention</U>. The execution, delivery and
performance by the Company of this Agreement and each of the other Transaction Documents
and the transactions contemplated hereby and thereby (a)&nbsp;have been duly authorized by all
necessary corporate action of the Company; (b)&nbsp;do not contravene the terms of the Charter
Documents; (c)&nbsp;do not violate, conflict with or result in any breach, default or
contravention of (or with due notice or lapse of time or both would result in any breach,
default or contravention of), or the creation of any encumbrance under, any Material
Contract of the Company or any requirement of Law applicable to the Company; and (d)&nbsp;do not
violate any orders against, or binding upon the Company.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 <U>Binding Effect</U>. This Agreement and each of the other
Transaction Documents have been duly executed and delivered by the Company, and constitute
the legal, valid and binding obligations of the Company, enforceable against the Company in
accordance with their terms, except as enforceability may be limited by applicable
bankruptcy, insolvency, reorganization, fraudulent conveyance or transfer, moratorium or
similar laws affecting the enforcement of creditors&#146; rights generally and by general
principles of equity relating to enforceability (regardless of whether considered in a
proceeding at law or in equity).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 <U>Compliance with Indian Requirements of Law</U>. The Company has
materially complied with all its registration requirements and Indian requirements of Law.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5 <U>No Default or Breach; Material Contracts</U>. The Company is not in
default under any Material Contract nor to the Company&#146;s knowledge, does any condition
exist that with notice or lapse of time or both would constitute a default thereunder. To
the Company&#146;s knowledge, (a)&nbsp;no other party to any such Material Contract is in default
thereunder and (b)&nbsp;there exists no condition that with notice or lapse of time or both
would constitute a default by such other party thereunder.
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: Helvetica,Arial,sans-serif">





<DIV align="left" style="font-size: 10pt; margin-top: 12pt">ARTICLE IV
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><U>REPRESENTATIONS AND WARRANTIES OF ISU</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ISU hereby represents and warrants to the Company and acknowledges that the Company in
entering into this Agreement is relying on the following representations and warranties.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 <U>Existence and Power</U>. ISU has the requisite power and authority
to execute, deliver and perform its obligations under this Agreement and each of the other
Transaction Documents to which it is a party.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.2 <U>Authorization; No Contravention</U>. Subject to satisfaction of the
Conditions, the execution, delivery and performance by ISU of this Agreement and each of
the other transaction documents to which it is a party and the transactions contemplated
hereby and thereby, (a)&nbsp;have been duly authorized by all necessary corporate action, (b)&nbsp;do
not contravene the terms of ISU&#146;s organizational documents, or any amendment thereof, and
(c)&nbsp;do not violate, conflict with or result in any breach or contravention of, or the
creation of any Encumbrance under, any Material Contract of ISU or any requirement of Law
applicable to ISU, and (d)&nbsp;do not violate any orders of any Governmental Authority against,
or binding upon, ISU.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.3 <U>Organisation and Control</U>. ISU hereby represents that the
shareholding, composition of its Board of Directors and management of ISU is fully
represented by Resident Indian Citizens and that there is no beneficial holding interest of
any non-resident or other Overseas Corporate Bodies in ISU.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.4 <U>Binding Effect</U>. This Agreement and each of the other
Transaction Documents to which it is a party have been duly executed and delivered by ISU
and constitutes the legal, valid and binding obligations of ISU, enforceable against it in
accordance with its terms, except as enforceability may be limited by applicable
bankruptcy, insolvency, reorganization, fraudulent conveyance or transfer, moratorium or
similar laws affecting the enforcement of creditors&#146; rights generally or by equitable
principles relating to enforceability (regardless of whether considered in a proceeding at
law or in equity).
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: Helvetica,Arial,sans-serif">





<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.5 <U>Purchase Entirely for Own Account</U>. ISU is acquiring the Sale
Shares for investment for ISU&#146;s own account and not with the view to, or for resale. ISU
further represents that it does not have any contract, undertaking, agreement or
arrangement with any Person to sell, transfer or grant participation to any third Person.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">ARTICLE V
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">COMPLIANCE WITH ALL GOVERNMENT REGULATIONS
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1.
The parties specifically agree that the majority of the directors on
the Board of the Company, including the Chairman, Managing Director
and the Chief Executive Officer of the Company, shall be resident Indian citizens
</div>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2. The Parties acknowledge, accept and agree that this agreement and the investment by SIFY and
ISU in the Company shall at all times be governed by and shall be subject to the licence
granted to the Company by the Government Authorities and the parties agree to duly comply with
all such conditions.
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE
VI</div>



<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>TRANSFER OF SHARES</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1. As long as the Regulations of the Government Authorties require that the non resident
shareholding in the Company should not exceed 74% of Share Capital, it is agreed that ISU
will sell their stake either in full or in part only to resident Indians or such Companies
which together with Sify shall ensure compliance of the aforesaid norms.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2. In order to enable the Company and SIFY to effectively ensure the due compliance of the
Regulations, ISU shall not transfer or deal with the shares held by ISU in the Company
without the prior permission of Sify and the Company and, SIFY and the Company shall be
entitled to refuse the transfer of the shares to any person where SIFY and/or Company shall
have reasonable objection.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3. If and when the Regulations of the Government Authorities permit SIFY to hold more than
74% of the shares in the Company and maintain the licenses for carrying on activities such
as VPN, ILD, NLD etc. which are presently subject to sectoral cap, SIFY and ISU may
negotiate for the sale
by ISU and purchase by SIFY or its nominees the shares held by ISU in the Company on
terms and conditions to be mutually agreed to between them</div>

<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: Helvetica,Arial,sans-serif">






<DIV align="center" style="font-size: 10pt; margin-top: 18pt">ARTICLE VII
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>MISCELLANEOUS</U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.1 <U>Notices</U>. All notices, demands and other communications provided for or
permitted hereunder shall be made in writing and shall be by registered or certified first-class
mail, return receipt requested, telecopier, courier service or personal delivery:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">1) if to the Company:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">SAFESCRYPT Limited<BR>
Tidel Park, 2<SUP style="font-size: 85%; vertical-align: text-top">nd</SUP> Floor<BR>
No.&nbsp;4 Canal Bank Road, Taramani<BR>
Chennai &#151; 600113<BR>
Telecopy: 91 44 2254 0777<BR>
Attention: Mr Ajit Abraham

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">2) if to ISU
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">Infinity Satcom Universal P Limited<BR>
Flat No 104, Lakshmi Apartments,<BR>
RB Shreeram Layout, Waltair Uplands,<BR>
Vishakapatnam &#150; 530 003<BR>
Telecopy:<BR>
Attention : Mr V Anand Raju

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">3) if to Sify
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">SIFY Limited<BR>
Tidel Park, 2<SUP style="font-size: 85%; vertical-align: text-top">nd</SUP> Floor<BR>
No.&nbsp;4 Canal Bank Road, Taramani<BR>
Chennai &#151; 600113<BR>
Telecopy: 91 44 2254 0851<BR>
Attention: R Ramaraj

</DIV>



<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All such notices, demands and other communications shall be deemed to have been duly given
when delivered by hand, if personally delivered; when delivered by courier, if delivered by
commercial courier service; and when receipt is mechanically acknowledged, if telecopied.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.2 <U>Successors and Assigns; Third Party Beneficiaries</U>. This Agreement shall
inure to the benefit of and be binding upon the successors and permitted assigns of the parties
hereto. Subject to compliance with applicable laws to the reasonable satisfaction of the Company
and the terms and conditions thereof, ISU may assign any of its rights under this Agreement or the
other Transaction Documents to any of its respective Affiliates upon the giving of five days prior
written notice to the Company.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.3 <U>Amendment and Waiver</U>.
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="15%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>No failure or delay on the part of the Company
or ISU in exercising any right, power or remedy hereunder shall operate
as a waiver thereof, nor shall any single or partial exercise of any
such right, power or remedy preclude any other or further exercise
thereof or the exercise of any other right, power or remedy. The
remedies provided for herein are cumulative and are not exclusive of
any remedies that may be available to Sify, the Company or ISU at law,
in equity or otherwise.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="15%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Any amendment, supplement or modification of or
to any provision of this Agreement, any waiver of any provision of this
Agreement, and any consent to any departure by Sify, the Company or ISU
from the terms of any provision of this Agreement, shall be effective
(i)&nbsp;only if it is made or given in writing and signed by Sify, the
Company and ISU and (ii)&nbsp;only in the specific instance and for the
specific purpose for which made or given.</TD>
</TR>

</TABLE>
</DIV>

<P align="center" style="font-size: 10pt">&nbsp;
</DIV>
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<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">4)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Counterparts</U>. This Agreement may be executed in any number
of counterparts and by the parties hereto in separate counterparts, each of which
when so executed shall be deemed to be an original and all of which taken together
shall constitute one and the same agreement.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">5)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Headings</U>. The headings in this Agreement are for convenience
of reference only and shall not limit or otherwise affect the meaning hereof.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">6)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Severability</U>. If any one or more of the provisions contained
herein, or the application thereof in any circumstance, is held invalid, illegal
or unenforceable in any respect for any reason, the validity, legality and
enforceability of any such provision in every other respect and of the remaining
provisions hereof shall not be in any way impaired, unless the provisions held
invalid, illegal or unenforceable shall substantially impair the benefits of the
remaining provisions hereof.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">7)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Rules of Construction</U>. Unless the context otherwise
requires, references to sections or subsections refer to sections or subsections
of this Agreement.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">8)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Entire Agreement</U>. This Agreement, together with the exhibits
and schedules hereto, and the other Transaction Documents are intended by the
parties hereto as a final expression of their agreement and intended to be a
complete and exclusive statement of the agreement and understanding of the parties
hereto in respect of the subject matter contained herein and therein. There are
no restrictions, promises, representations, warranties or undertakings, other than
those set forth or referred to herein or therein. This Agreement, together with
the exhibits and schedules hereto, and the other Transaction Documents supersede
all prior agreements and understandings between the parties hereto with respect to
such subject matter.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="12%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">9)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Further Assurances</U>. Each of the parties hereto shall execute
such documents and perform such further acts (including, without limitation,
obtaining any consents, exemptions, authorizations or other actions by, or giving
any notices to, or making any filings with,
any Governmental Authority or any other Person) as may be reasonably required or
desirable to carry out or to perform the provisions of this Agreement.</TD>
</TR>

</TABLE>
</DIV>


<P align="center" style="font-size: 10pt">&nbsp;
</DIV>
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<DIV style="font-family: Helvetica,Arial,sans-serif">


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the undersigned have executed, or have caused to be executed, this
Subscription Agreement on the date first written above.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">SIFY LIMITED<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ R Ramaraj</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">R Ramaraj&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Managing Director &#038; CEO&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">INFINITY SATCOM UNIVERSAL PRIVATE LIMITED<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ V Anand Raju</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">V Anand Raju&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Managing Director&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">SIFY COMMUNICATIONS LIMITED<BR>
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">/s/ Ajit Abraham&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Name:&nbsp;&nbsp;</TD>
    <TD align="left">Ajit Abraham&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD valign="top">Title:&nbsp;&nbsp;</TD>
    <TD align="left">Director&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
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