May 1, 2017
Court Decision Regarding Stake in Tata Teleservices
NTT DOCOMO, INC. announced today that it received on April 28, 2017 from the High Court of Delhi an order to enforce the arbitration award rendered by London Court of International Arbitration ("LCIA Award") regarding DOCOMO's stake in Tata Teleservices Limited ("TTSL"). DOCOMO previously announced the agreement to make a joint application with Tata Sons for this order in a February 28, 2017 press release entitled "DOCOMO and Tata Sons reach agreement in principle on payment of LCIA arbitration award."
- Background of the Court Decision
DOCOMO received the LCIA Award on June 23, 2016. On July 8, 2016, DOCOMO submitted an application to the Court requesting enforcement of the LCIA Award in India. On February 25, 2017, DOCOMO and Tata Sons Limited ("Tata Sons") submitted a joint application to the Court requesting the Court to declare that the LCIA Award is enforceable in India. On April 28, 2017, the Court delivered a court decision approving the joint application.
- Summary of the Court Decision
- Recognizing the enforceability of the LCIA Award in India, the court decision orders Tata Sons to remit to DOCOMO the approximately US$1.18 billion (approximately ¥130 billion) that Tata Sons has deposited with the Court.
- The court decision orders DOCOMO to assist in the transfer of its shares in TTSL, which have already been tendered as per the LCIA Award, to Tata Sons upon receipt of the US$1.18 billion.
- Calculated based on the exchange rate as of April 30, 2017 of US$1 = ¥111.29
The remittance will be made after the necessary procedures, including a notice filing with the Competition Commission of India for the share transfer of TTSL, are completed. While the timing of actual remittance is uncertain, DOCOMO will update this information in a timely fashion if any matter affecting DOCOMO's corporate earnings that requires disclosure arises.