Tata Communications Acquires 51% Stake in Commotion Inc. for $25.5M
Filing Summary
Tata Communications Limited, through its wholly-owned subsidiary Tata Communications (Netherlands) B.V., has acquired a 51% stake in Commotion, Inc. for approximately USD 25.50 million. The acquisition involves a combination of stock purchase and capital investment. Commotion, Inc., based in the United States with a subsidiary in India, specializes in AI-enabled enterprise solutions. The transaction was completed on December 1, 2025. This acquisition is structured as a cash-only transaction and does not involve any related party transactions. Commotion, Inc. reported a revenue of USD 118,750 for the year ending December 31, 2024.
Tata Communications Limited, through its wholly-owned subsidiary Tata Communications (Netherlands) B.V., has completed the acquisition of a 51% stake in Commotion, Inc. This acquisition was executed through a Stock Purchase Agreement and ancillary Transaction Documents. Commotion, Inc. is a United States-based company with operations in India, focusing on AI-enabled enterprise solutions. The transaction was finalized on December 1, 2025.
The total consideration for the acquisition is approximately USD 25.50 million, equivalent to around ₹227 Crores at the exchange rate of 1 USD = ₹89.20. The financial structure includes approximately USD 15.50 million allocated for purchasing stocks from existing shareholders, including founders and external investors, and USD 10.00 million designated for capital contribution to the target company. The acquisition is conducted entirely in cash.
Commotion, Inc. provides enterprise solutions through its proprietary AI platform, which includes capabilities in Voice AI, Omnichannel CX Automation, and Autonomous Digital Agents. These solutions facilitate real-time, personalized customer interactions and automate complex processes. The company reported a revenue of USD 118,750 for the 12-month period ending December 31, 2024. The acquisition aims to integrate these capabilities into Tata Communications’ offerings.
The acquisition was completed on December 1, 2025, as per Central Time in the USA. The transaction does not require any governmental or regulatory approvals. The acquisition is not classified as a related party transaction, and there is no involvement of the promoter group or related entities in the transaction.
Tata Communications (Netherlands) B.V. will hold a 51% stake in Commotion, Inc. on a fully diluted basis, which includes all outstanding shares of Common Stock and assumes the exercise or conversion of all outstanding options and warrants. Commotion, Inc. operates in the Artificial Intelligence enabled services sector, focusing on software development and consultancy.
Commotion, Inc. was incorporated on March 25, 2022. The company operates primarily in the United States and has a wholly-owned subsidiary in India. The acquisition aligns with Tata Communications’ strategy to enhance its Customer Interaction Suite portfolio by integrating AI and orchestration capabilities.
Tata Communications is a global digital ecosystem enabler, part of the Tata Group, providing digital transformation solutions across more than 190 countries. The company focuses on collaboration and connected solutions, core and next-gen connectivity, cloud hosting, and security solutions. Tata Communications serves 300 of the Fortune 500 companies and connects businesses to 80% of the world’s cloud giants.