Highlights

• TCS IPO, India's largest ever, generates overwhelming response
• Price of Rs. 850 per share, despite being over subscribed at Rs. 900 per share
• With total demand of around Rs. 40,000 crores IPO subscribed around 7.7 times
• Large scale participation by QIBs, HNIs and Retail Investors
• Over 1.3 million bids received - new record for book built issues to date
• Book-running Lead Managers : JM Morgan Stanley, DSP Merrill Lynch, JP Morgan

Mumbai, August 7, 2004: Tata Consultancy Services Limited (TCS), Asia's largest IT Services company, has received an overwhelming response to its 100% book built Initial Public Offering (IPO), attracting a record 1.3 million bids. The IPO, the largest to date by a private sector Indian company, garnered demand of around Rs. 40,000 crores (approx. US$ 8.6 bn) at the issue price.

The IPO comprised 55.5 million shares, in addition to which there is a Green Shoe option of 8.3 million shares. 10% of the total issue was reserved for employees and of the remaining net offer, 60% was offered to Qualified Institutional Buyers (QIBs), 15% was offered to Non Institutional investors (including High Networth Individuals) and 25% was offered to Retail Investors.

The offering was launched with a price band of Rs. 775 to Rs. 900 per share. As per preliminary estimates, including the Green shoe shares, the issue was subscribed approximately 7.7 times on an overall basis, and 2.2 times at the highest end of the band (Rs. 900 per share). As per preliminary estimates, the retail portion was approximately 3 times subscribed while the non-institutional portion was subscribed by approximately 22 times.

As a reflection of their appreciation of the overwhelming response from all investor segments and in keeping with the philosophy of making Tata Group company offerings attractive to long term investors, the IPO price has been fixed at Rs. 850 per share. At the issue price, the Offering size is Rs. 5,420 Crores (approximately US$ 1.2 billion), including the Green Shoe option of Rs. 706 crores (US$ 152 million).

Commenting on the success of the IPO, Mr. Ratan Tata, Chairman, TCS Limited said, "We greatly appreciate this overwhelming response from both the domestic and global investor community and thank them for the confidence reposed in TCS and the Tata Group".

Mr. S. Ramadorai, Chief Executive Officer, TCS Limited said, "With this IPO, our long term objectives will be to increase stakeholder value, continue to meet employee expectations, and importantly, enhance our corporate profile and visibility."

The Book-running Lead Managers to the issue were JM Morgan Stanley, DSP Merrill Lynch and JP Morgan.

ABOUT TCS

Tata Consultancy Services (TCS) is a leading global IT services provider and was the first billion-dollar Indian IT services organization by annual revenues. Since its inception in 1968, TCS has pioneered many of the significant developments in the Indian IT services industry, including the offshore delivery model for IT services. TCS is a global organization with offices in 32 countries and development centres in 10 countries. TCS offers a comprehensive range of IT services to its clients in diverse industries such as banking and financial services, insurance, manufacturing, telecommunications, retail and transportation. TCS's clients comprise of some of the world's largest and well-known organizations. TCS has developed extensive experience in providing end-to-end IT services, integrating multiple technologies and delivering solutions in multiple geographies for its global clients. It is the largest Indian IT services organization in terms of revenues as well as profits.

TCS is part of the Tata Group, which has a heritage of over 135 years as one of India's leading corporate groups. The Tata Group has interests in a diverse range of industries, and had combined sales of approximately Rs. 542 billion in fiscal 2003.

For more information, visit our website at www.tcs.com

* As per the combined electronic book of NSE and BSE; subject to entire greenshoe being exercised.