Indiabulls Financial Services update

Indiabulls Financial Services Ltd has informed that the Company has received a letter from MMTC dated October 23, 2007 where MMTC has stated that Govt of India, Ministry of Commerce & Industry has approved the proposal of MMTC for setting up of a multi commodities exchange in partnership with the Company. For the purpose of setting up the multi commodities exchange a SPV will be formed where MMTC will hold a 26% stake and the Company will hold 74% stake. The equity capital of the SPV will be Rs 100 crores and two shareholders in the SPV, MMTC and the Company will invest their share of equity capital in the SPV on pro rata basis.