I think there's been some blur in the goal here. SHAKTI's aim is not to just build a Indian-based server chip manufactured abroad. For instance, if you see their tapeouts page (http://shakti.org.in/tapeouts.html), you can see that they have taped out a chip in India as well with 180nm..
Also, Compressed instruction support has been supported on SHAKTI since and a beta version is now available publicly.
The reason for that contact was to try to port Fedora on the already taped out chip which does not support compressed instructions.
SHAKTI processors based on RISC-V ISA (popular in news, a few months ago for https://news.ycombinator.com/item?id=15684225) has successfully taped out and booted Linux in their first test chip silicon in 22nm Technology node.
In Reddit - goo.gl/Z1yZU8