Sterlite Tech Secures $1.2 Billion Hyperscale Deal

Sterlite Technologies

has secured a Long-Term Supply Agreement (LTSA) with an international hyperscale partner, with the total potential value estimated at approximately $1.2 billion based on prevailing selling prices of the connectivity products. Optical Connectivity Supply Through 2030 Under the agreement, STL's wholly owned subsidiary will supply optical connectivity products as per customer specifications. - Potential contract value: ~$1.2 billion - Customer: International hyperscale partner - Products: Optical connectivity products - Supply period: CY26 to CY30 - Contract validity: Up to December 2030 - Purchase orders: To be released periodically during the contract period The agreement also includes a reciprocal risk-sharing framework, with mutually capped financial liabilities in case of demand or supply-capacity shortfalls or failures. AI Data Centre Demand Supports Growth - The deal strengthens STL's positioning in the optical connectivity and AI data-centre infrastructure market. The company had already reported a record ₹18,618 crore open order book in Q1 FY27, along with quarterly revenue of ₹1,910 crore and EBITDA of ₹397 crore. - STL has also secured a separate multi-year hyperscaler contract of more than $1 billion earlier in 2026 for optical connectivity products for AI data-centre build-outs. - The latest agreement provides additional potential revenue visibility through December 2030, while actual supplies will depend on purchase orders released during the contract period. Disclaimer: This content is for educational and informational purposes only and should not be considered investment advice or a recommendation to buy or sell any security. Investors should conduct their own research and consider their risk profile before making any investment decision.