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Press Releases

28

October 2009

SINGAPORE TELECOM SUBSIDIARY ACQUIRES STAKE IN AYALA SYSTEMS TECHNOLOGY, INC.

Ayala Corporation announced today that SCS Computer Systems Pte Ltd (SEC), a company owned by Singapore Telecommunications Limited (SingTel) has purchased from Azalea Technology Investments, BPI Computer Systems Corporation, and Mitsubishi Corporation, a total of 8,476,400 common shares in the capital of Ayala Systems Technology, Inc. (ASTI), for an aggregate cash consideration of P7,204,940 or P0.85 per common share.

The acquisition represents 21 percent of the issued share capital of ASTI. This increases SCS’s shareholding in ASTI from 30 percent to 51 percent, making ASTI a subsidiary of SingTel. The remaining 49 percent of ASTI continue to be held by Azalea.

ASTI is one of the fastest growing information technology (IT) services companies in the Philippines. It is a subsidiary of Ayala that focuses primarily on the IT industry. Established in 1988, ASTI specializes in offshore software development for companies in Japan, Europe, America and Australia. Ayala is one of the country’s largest business conglomerates and has been in existence for 175 years.

SCS is a wholly owned subsidiary of NCS Pte. Ltd (NCS). NCS is one of Asia Pacific’s top Information and Communications Technology (ICT) services providers. In the latest 2008 report on IT Professional Services, Gartner ranked NCS 8th in terms of market share in Asia Pacific (excluding Japan). NCS has a presence in more than 10 countries across the Asia Pacific and Middle East regions, employing over 7,000 staff. Its customers include international blue chip market leaders and governments. NCS is a wholly owned subsidiary of the SingTel Group.

The acquisition will provide NCS/SingTel– Asia’s leading communications group with operations and investments in more than 20 countries and territories around the world–access to a large labor pool that is highly competitive in pricing but gives back excellent value in terms of the employees’ dedication to work, technical competence, learning and growth potential.

ASTI’s experience in the outsourcing and offshoring industry will be the platform for NCS/SingTel to penetrate overseas markets.

The above statement pertains to the disclosure made to the Securities and Exchange Commission and the Philippine Stock Exchange by Ayala Corporation CFO Rufino Luis T. Manotok.