TeamLease Services Limited — Capital/Financing Update 2020

Apr 6, 2020

April 06, 2020

To	To
Listing Department	Listing Department
BSE Limited,	National Stock Exchange of India Limited,
Phiroze Jeejeebhoy Towers,	Exchange Plaza, 5th Floor,
Dalal Street, Fort,	Plot no. C/1, G Block,
Mumbai - 400 001	Bandra Kurla Complex, Bandra(E),
	Mumbai - 400 051
Scrip Code: 539658	Scrip Code: TEAMLEASE

Dear Sir/Madam,

• Sub: Update on Acquisition of 16.28% Equity stake in Avantis Regtech Private Limited (Avantis Regtech) by TeamLease Services Limited (Company)
  • Ref: 1. Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015 and
    • 2**.** Announcement(s) made by the Company on November 02, 2018 pertaining to acquisition of stake in Avantis Regtech through primary investment of Rs.7 crore through Compulsorily Convertible Preference Shares (CCPS) (Enclosed for ease of reference)

With reference to the above mentioned subject and pursuant to Regulation 30 read with any other applicable provisions of the SEBI LODR Regulations, 2015, we wish to inform you that as on April 03, 2020, the Company has acquired 16.28% Equity stake in Avantis Regtech, a Company incorporated under the provisions of Companies Act 2013, and a Joint Venture of the Company, pursuant to which, the holding of the Company in Avantis Regtech is as mentioned below:

SL. NO	CAPITAL	PERCENTAGE OFHOLDING	REMARKS
1	CCPS	100%	Announcement made by the Company on November 02,2018 pursuant to execution of Investment Agreementbetween the Company and Avantis Regtech. (Enclosed forease of reference)
2	Equity	16.28%	19835 equity shares are allotted to Company at Rs. 1,603/-each on April 03, 2020

TeamLease Services Limited, CIN No: L74140KA2000PLC118395

Registered Office: 6thFloor,BMTC CommercialComplex, 80 Feet Road, Koramangala, Bangalore -560095.

Ph: (91-80) 68242345 Fax:(91-80) 68243001 corporateaffairs@teamlease.com/ www.teamlease.com

Kindly take the above said information on record as per the requirement of SEBI LODR Regulations, 2015 and oblige.

Thanking You.

Yours faithfully,

For TeamLease Services Limited SD/- Alaka Chanda Company Secretary and Compliance Officer alaka.dhawan@teamlease.com 080-6824 3000

* PS "This submission is made in SD/- mode due to the restrictions imposed on free movement of people around various geographies of the nation by the Central and State Government, owing to the outbreak of CoVID 19 pandemic and pursuant to the communiqué dated March 24, 2020 and March 25, 2020 respectively, of National Stock Exchange of India Limited and BSE Limited enabling submission without signature in SD/- mode.

TeamLease Services Limited, CIN No: L74140KA2000PLC118395

Registered Office: 6thFloor,BMTC CommercialComplex, 80 Feet Road, Koramangala, Bangalore -560095.

Ph: (91-80) 68242345 Fax:(91-80) 68243001 corporateaffairs@teamlease.com/ www.teamlease.com

BSE Limited,	National Stock ExchangeofIndia Limited,
Phiroze IeejeebhoyTowers,	Exchange Plaza, 5th Floor,
Dalal Street,Fort,	Plot no. C/1,G Block,
Mumbai 400 001	Bandra Kurla Complex,Bandra(E),
	Mumbai -400 051
Scrip Code: 539658	Scrip Code: TEAMLEASE

Sub: Intimation of acquisition of stake in Avantis Regtech Private Limited

Ref: Our letter dated August 03, 2018 in relation to intimation of agreement to acquire stake in Avantis Softech LLP (Enclosed)

Regulation 30 0f SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015

Dear Sir/Madam,

In continuation of our letter dated August 03, 2018 in relation to intimation of agreement to acquire stake in Avantis Softech LLP and pursuant to Regulation 30 read with Schedule III (Part A) and any other applicable provisions ofthe SEBI LODR Regulations, 2015, we wish to inform you that the Company has signed addendum to the Investment Agreement to acquire stake in Avantis Regtech Private Limited ("Avantis Regtech"), a company incorporated under the Companies Act, 2013. Avantis Regtech is a newly incorporated company wherein the entire undertaking ofAvantis Softech LLP has been transferred.

Hence, the original proposal of acquiring stake in Avantis Softech LLP is now modified to the extent of acquiring stake in Avantis Regtech, the newly incorporated company wherein the entire undertaking ofAvantis Softech LLP has been transferred.

We enclose herewith the details required under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI Circular No. CIR/CFD/CMD/4/2015 dated September 09,2015 as an Annexure.

This is for your information and record. Thanking You

Yours faithfully, For TeamLeaseSgrvices Limited

Man; Clwo

Alaka Chanda Company Secretary and Compliance Officer

Encl: As above.

81.No.	ofEvents thatDetailstoneedbe	InformationofsuchEvents
1.	providedname ofthe targetentity, details inbriefturnoversuch as size,etc.;	AvantisLimitedPrivateName:("AvantisRegtechRegtech")AvantisBusiness:teaminhasexpertisedeepGovernance, Risk and Complianceautomationand hasofhundredsfromhelpedmigrateorganisationsmanualandtodependentpeopleprocessesframeworkItbasedsolutions.automated,haswithacrossandcredibilitySMEslargeenterprisesacross29statesandUnion7implementationsTerritoriesin India withquick and easyon-boardingMobileandbasedandatrackingAppCompliancemanagement. Avantis's SAAS(Software as a Service)Platformcoversover1200Actsandover55,000inIndia.Avantis'scompliancesstrongcomplianceassessment and research capabilitiesleverage cuttingedge technologies such as Al,ML and OCR.
2.I	whetherwouldthe acquisitionfallwithinrelated partytransaction[s)whetherandthepromoter/promotergroup/group companiesinterestin thehave anyentitybeingacquired? Ifyes, nature ofinterestand details thereofand whetherthesame is done at "arm'slength";	acquisition does not fall withinThe proposedRelatedpromoters ofParty Transaction and thethe Companyhave no interestin the entityproposed to be acquired.
3.	to whichthe entityindustrybeingacquired belongs;	Digital Compliance Management
4.	ofandeffectsobjectsacquisitionbutnotlimited(includingto,ofdisclosureforreasonsifofitsacquisitiontargetentity,ofbusiness is outside the main linebusiness ofthe listedentity);	investment to be used forProposed primaryCreating new product0offerings-Strengthen its existingtechnology-Possiblecostthebyintegratingsynergieshorizontals
5.	briefdetails ofany governmental orforregulatoryapprovalsrequiredthe acquisition;	None
6.	indicativetimeforperiodcompletion ofthe acquisition;	On orfromthe date ofbefore 90 daysagreement.
7.	ofnatureconsideration-whetherconsiderationorcashshareswapand details ofthe same;	consideration.toTeamLeaseinCashstakeacquireAvantis RegtechinvestmentofthroughprimaryRs.7croreConvertiblethroughCCPS(CompulsorilyPreference Shares)over the next 3 years.The deal isstructuredwithall-cashtenderfinancedantheasexisting cash reserves ofTeamLease.
8.	cost ofortheprice atacquisitionwhichthe shares are acquired;	allottedThe CCPS to beto TeamLeaseofat a priceRs._228 each.

TeamLease Services Limited, CIN No: L7414OMH2000PLC124003 6th Floor, BMTC Commercial Complex, 80 Feet Road, Koramangala, Bangalore - 560095. Pb : (91-80) 33002345 Fax: (91-80) 33243001 corporatealfairs@teamlease.corn/www.teamlease.com Registered Office : No. 6, 3rd Floor, C Wing, Laxmi Towers, Bandra Kurla Complex, Bandra (East), Mumbai - 400 051

9.	/ofshareholdingpercentageacquired and /controlor numberofshares acquired;	TeamLease willacquire ~3.07 lakhs CCPS inAvantisofthe definitiveRegtech over a periodas per3 yearsoffurtherinstakeAvantisAcquisitionagreement.Regtech is linkedto futureperformance and meetingits milestones.
10.	briefabout theentitybackgroundacquired in terms ofproducts/lineofbusinessofdateacquired,oflastincorporation,history3inwhichturnover,countryyearsthehasentityacquiredpresenceotherandsignificantanyinformation(inbrief)	AvantisLimitedPrivatewasRegtechon October 12,2018 to facilitateincorporatedthe transaction as contemplatedin the originalinvestment agreementbetween the Companyand Avantis SoftechLLP.ABZBleading(RegulatoryRegTechwithTechnology) Company in India currentlyovercustomers250075Enterpriseservinglocationsunionacross29statesand7territoriesin Indiadifferentcustomersacross20EnterprisewithState ofthe artindustriescloud enabledPlatformSAASas[SoftwareaService]withworkflowandequippedenterprisedocument managementcapabilitieswithoverEnabled1200andACTS55,000compliances in IndiaandContractLitigationIntegratedManagement ModulesAvantisitsmainlythroughRegtechoperatesoffice in Pune,India.

TeamLease Services Limited, CIN No: L74140MH2000PLC124003

6th Floor, BMTC Commercial Complex, 80 Feet Road, Koramangala, Bangalore - 560095.

Ph : (91-80) 33002345 Fax: (91-80) 33243001 corporateailairs@teamlease.com/www.teamlease.com Registered Office : No. 6, 3rd Floor, C Wing, Laxmi Towers, Bandra Kurla Complex, Bandra (East), Mumbai - 400 051

August 03, 2018

BSE Limited,Phiroze JeejeebhoyTowers,Dalal Street,Fort,Mumbai 400001	ofNational Stock ExchangeIndia Limited,Exchange Plaza, 5th Floor,Plot no. C/ 1,G Block,Bandra KurlaComplex, Bandra(E),Mumbai -400 051
Scrip Code: 539658	Scrip Code: TEAMLEASE

Sub: Intimation of agreement to acguire stake in Avantis

Dear Sir/Madam,

Pursuant to Regulation 30 read with Schedule 11] (Part A) and any other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform you that the Company has signed definitive agreements to acquire stake in Avantis Softech LLP (to be converted into a private limited company) ("Avantis"), a LLP incorporated Limited Liability Partnership Act, 2008 subject to customary closing conditions.

We enclose herewith the details required under Regulation 30 of SEB] (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with SEBI Circular No. CIR/CFD/CMD/4/2015 dated September 09, 2015 as an Annexure.

A copy of Press Release in this respect is also enclosed.

This is for your information and record.

Thanking You

Yours faithfully,

For TeamLease Services Limited

MSW-Ni

Ashok Kumar Nedurumalli Managing Director (DIN: 00151814)

ljncl: As above.

Annexu re

Sl.No.	ofEvents thatDetailsneed tobe	ofInformationsuch Events
	providedname ofthe targetentity, details inbriefturnover etc.;such as size,	Name: Avantis Softech LLP("Avantis")Business: Avantisexpertise in Governance,has deepRiskAutomationandandhasCompliancehelpedhundreds oforganisations migrate frommanual andtoautomated,peopledependentprocessesframework based solutions.It has credibilityacrosswithSMEsandimplementationslargeenterprisesacross 29 states and 7 Union Territories in India withon—boarding and a Mobileand easyApp basedquickAvantis'sandCompliancetrackingmanagement.SAAS (SoftwarePlatform coversoveras a Service)ActsoverinIndia.1200and55,000compliancesAvantis'sstrong compliance assessment and researchcapabilities leverage cutting edge technologies suchMLas Al,and OCR. For FY18,the revenue was Rs.1.10 Crores.
	whether the acquisitionwouldfallwithinrelatedparty transaction(s)whetherandthepromoter/promoter group/group companieshaveinterestintheentityanyIfof.naturebeing acquired?yes,thereofinterestdetailsandandwhether the same is done at "armslength";	acquisition does not fall withinThe proposedRelatedofParty Transaction and the promotersthe Companyinteresttohavenointhebeentityproposedacquired.
	industry to which the entitybeingacquired belongs;	DigitalCompliance Management
	ofeffectsandobjectsacquisitionlimitedbutnot(includingto,offordisclosurereasonsifofitsacquisitionentity,targetbusiness is outside the main line ofbusiness ofthe listed entity);	investment to be used forProposed primaryCreating new product0offerings-Strengthen its existingtechnology°Possiblecostthesynergiesbyintegratinghorizontals
	ofbriefdetailsanygovernmentalorregulatoryapprovalsrequiredforthe acquisition;	ofLLPAvantisConversionSoftechintoaprivatelimitedconditiontotheisacompanyprecedentclosing whichrequires approval fromtheRegistrarofCompanies, Pune.
	indicativetimeforperiod	the date ofagreement.On or beforefrom90 days

&91¢." TeamLease Services Limited, CIN No: L7414OMHSZOOOPLC124003 6th Floor, BMTC Commercial Complex, 80 Feet Road, Koramangala, Bangalore - 560095. Ph : (91-80) 33002345 Fax: (91-80) 33243001 corporateaflairs@teamlease.com/www.team|ease.com Registered Office : No. 6, 3rd Floor, C Wing, Laxmi Towers, Bandra Kurla Complex, Bandra (East), Mumbai - 400 051

	completion oftheacquisition;
	of-natureconsiderationwhetherconsiderationorcashshareswapand details ofthesame;	consideration.TeamLease toCashacquire stakeinofAvantisinvestmentRs.7croreprimarythroughConvertible Preferencethrough CCPS (CompulsorilyShares) over thenext 3 years.The deal is structuredas an all-cash tender financed withthe existingcashreserves ofTeamLease.
	cost ofacquisition or the priceatwhich theshares are acquired;	ofThe CCPS to be allotted toTeamLease at a priceRs. 228 each.
	of/percentageshareholdingcontrol/or numberacquired andofshares acquired;	willTeamLease~3.07lakhsCCPSinacquireofAvantisover a periodthe definitiveas per3 yearsoffurther stake in Avantisisagreement. Acquisitionlinkedtofutureanditsperformancemeeting
10.	briefbackground about theentityacquired in terms ofproducts/lineofofbusinessdateacquired.oflastincorporation,history3whichinturnover,yearscountrythehasacquiredentitypresenceandothersignificantanyinformation(inbrief)	milestones.°AvantisLLPSoftech("Avantis")wasincorporated on December 05,2016.A°BZBleadingRegTech(RegulatoryIndiainTechnology)Companycurrentlywithcustomers75overEnterpriseserving2500locations across 29 states andunion7territories in India°customersdifferent20acrossEnterpriseState ofindustries withthe art cloud enabledSAASPlatformasa(SoftwareService)withworkflowandequippedenterprisedocument managementcapabilities°withEnabledoverACTS1200and55,000compliances in India°andContractIntegratedLitigationManagement Modules°Avantisthrough its officeinoperates mainlyPune, India.°FortotalthewasrevenueFY18,Rs.1.10Crores.

TeamLease Services Limited, CIN No: L7414OMH2000PLC124003

6th Floor, BMTC Commercial Complex, 80 Feet Road, Koramangala, Bangalore - 560095.

Ph : (91-80) 33002345 Fax: (91-80) 33243001 corporatealfairs@teamlease.com / www.teamlease.com Registered Office : No. 6, 3rd Floor, C Wing, Laxmi Towers, Bandra Kurla Complex, Bandra (East), Mumbai - 400 051

TEAMLEASE TO ACQUIRE STAKE IN AVANTIS, AGREEMENT TO CREATE AN lEASE-OF-DOING-BUSINESS' VERTICAL

TeamLease Services Limited (NSE: TEAMLEASE, BSE: 539658), one of India's largest staffing companies, and Avantis Softech LLP ('Avantis'), India's leading Compliance and Regulatory Technology Company, today announced the signing of a definitive agreement under which TeamLease will invest Rs.7 crore in Avantis. The transaction remains subject to customary closing conditions and regulatory approvals and is expected to close before the end of September 2018. Avantis will be converted into a private limited company and will operate as a separate and independent entity.

About Avantis

Avantis has deep expertise in Governance, Risk and Compliance Automation and has helped hundreds of organisations migrate from manual and people dependent processes to automated, framework based solutions. It has credibility across large enterprises and SMEs with implementations across 29 states and 7 Union Territories in India with quick and easy on-boarding and a Mobile App based Compliance tracking and management. Avantis's SAAS (Software as a Service) Platform covers over 1200 Acts and over 55,000 compliances in India. Avantis's strong compliance assessment and research capabilities leverage cutting edge technologies such as Al, ML and OCR.

The company was co-founded by Rishi Agrawal and Sandeep Agrawal. Rishi served as the head of BNY Mellon's Center in Pune; ||T Varanasi (1999) and IIM Calcutta (2001) are his alma mater. Sandeep is a Chartered Accountant and had worked with PwC for close to a decade in Risk Advisory.

Deal Rationale

Avantis's market validated compliance platform and ability to conceptualize and build cutting edge technology plug-ins / interfaces will help TeamLease strengthen its position in the RegTech landscape and the vast market in the Compliance and Payroll Outsourcing (CPO) segment. It enables the opportunity to integrate with various payroll providers and regulators for data processing, straight through filing and record management. While TeamLease continues the DFM (Do it for Me) services in CPO business, all tech-enabled DIY (Do it Yourself) services will be carried out by Avantis.

Key Terms of the Deal

The transaction involves a primary investment of Rs.7 crore through CCPS (Compulsorily Convertible Preference Shares) over the next 3 years. The valuation for conversion and purchase of additional stake by TeamLease is linked to Avantis's future performance and meeting its milestones.

Press Release, August 03, 2018

Infused funds shall be primarily used to expand its business into new geographies, strengthen its existing technology and explore new forms of delivery.

Announcing the signing, Ashok Reddy, Managing Director, TeamLease Services said, "Our partnership with Avantis provides important infrastructure for our vision of Paperless, Presence/ess and Cash/ess compliance for India's big and small entrepreneurial ecosystem. Making compliance painless will make India a more fertile habitatforformal job creation."

"Team/ease has the scale, experience, and credibility that truly enables our vision of Ease-ofdoing Business ('EODB') 3.0. EODB 1.0 was the end of the license raj and EODB 2.0 was GST but EODB 3.0 will digitize the plumbing of all compliance for small and big employers. India has the opportunity to skip the evolution and move directly to a regulatory and compliance system more efficient and effective than developed countries" said Rishi Agrawal, CEO of Avantis.

About TeamLease Services Limited

TeamLease is a leading human resource service company with over 193,000 associates/trainees in 6,600+ locations. The company has 8 offices and over 2,250 clients across the country for its sercvices in Staffing, Outsourcing and Human Capital. TeamLease pursues its mission of 'Putting India to Work' by focusing on the 3 E's of Employment, Employability and Education. The Company in partnership with the Government of Gujarat, set up TeamLease Skills University (TLSU), India's first vocational university, at Vadodara through which NETAP (National Employability through Apprenticeship Program) provides on-the-job training. The Company has cumulatively provided employment to over 1.6 million people in the last 15 years and aims to hire millions more. For more details, visit www.teamleasegroup.com.

Investorcontact	Mediacontact
N Ravi Vishwanath	Renu Praveen
Chief Financial Officer	Adfactors
Tel: +91 80 3324 3330	Tel: +91 8884440250
Fax: +91 80 3324 3001	Fax : +91 80 3324 3001
E-mail: ravi.vishwanath@teamleasecom	E-mail: renu.praveen@adfactorspr.com