Sequoia Capital sells 4.45% stake in FirstSource

May 17, 2007: Sequoia Capital India today announced that it has sold a 4.45% stake in Firstsource Solutions (formerly ICICI OneSource) to SUN Group, a global investment and business group, for a total sum of $42 million. Post the sale, Sequoia Capital India will continue to own around a 5% stake in FirstSource.

Speaking on the deal, KP Balaraj, Managing Director, Sequoia Capital India said, "We are very positive about Firstsource Solutions, which is one of India's top BPO companies and is currently the largest publicly traded BPO company with a current market cap of over $1 Billion. The company is led by a world class management team and Board, and we are excited to remain a shareholder and investor here. We are also very excited that Sequoia India was an early investor in India`s first large cap BPO public company ."

Uday Khemka, Vice-Chairman of SUN Group, said, "We continue to broaden our technology investment base in India and are pleased to be able to participate in FirstSource's growth as a leading BPO."

Firstsource (NSE: FSL.NS, BSE: FSL.BO) is among India's top 3 pure-play BPO (business process outsourcing) service providers. Firstsource provides customized business process transformation to global leaders in the Banking & Financial Services, Telecom & Media and Healthcare sectors. It's 76 clients include six "Fortune Global 500" banks, two "Fortune Global 500" telecommunications companies and three "Fortune 100" healthcare companies. Firstsource has a global delivery model with operations in India, US, UK & Argentina and a center under development in Philippines. (www.firstsource.com).

About Sequoia Capital India

Sequoia Capital India provides venture and growth capital to entrepreneurs who wish to build world-class companies. Sequoia Capital India manages three funds totaling $750mn focused on investments in India across sectors. Sequoia Capital India investments include Applabs, Bharti Telesoft, Coffee Day, Firstsource, GlobalLogic, Indiatimes, Travelguru, Shaadi and Guruji. Globally, Sequoia Capital has been an early investor in such companies as Google, Yahoo, Apple, Oracle, Cisco and YouTube. To learn more about Sequoia Capital visit www.sequoiacap.com.

About SUN Group

SUN Group is a leading investment and business group in transforming markets, with a historical emphasis on India, Russia and the countries of the Former Soviet Union. The Khemka family, which founded the company, has been working with Russia for almost 50 years and have been operating throughout India for more than 100 years, with experience in a variety of sectors, including food and beverages, mining, oil and gas, infrastructure, and investment management. SUN invests through its private equity franchises and builds businesses through its principal investment activities.

About FirstSource

Firstsource (NSE: FSL.NS, BSE: FSL.BO) is among India's top 3 pure-play BPO (business process outsourcing) service providers. Firstsource provides customized business process transformation to global leaders in the Banking & Financial Services, Telecom & Media and Healthcare sectors. It's 76 clients include six "Fortune Global 500" banks, two "Fortune Global 500" telecommunications companies and three "Fortune 100" healthcare companies. Firstsource has a global delivery model with operations in India, US, UK & Argentina and a center under development in Philippines (www.firstsource.com).