Centrum and Future Group in Strategic Alliance

Chennai, March 12, 2008 - Centrum - one of the leading financial services groups in the country, today announced a strategic partnership with Future Group, which will propel Centrum's ambitious expansion plans in key businesses i.e. Investment Banking, Infrastructure and Real Estate Advisory, Institutional Broking, Forex and its allied services and Retail Wealth Management.

The three specific areas that Centrum and Future Group are partnering for are:

* Indivision fund, a private equity fund managed by future group to acquire 10% stake through a preferential allotment in Centrum Capital Ltd., the group's flagship investment banking company at an enterprise value of Rs.1200 Crores.

* Future Capital Holdings Ltd. will acquire 50.1% stake in CentrumDirect Ltd., the forex money changing subsidiary of Centrum Capital Ltd. through fresh capital infusion of Rs. 75 Crores.

* Future Capital Holdings Ltd. will also acquire 50.1% stake in a new joint venture company Centrum Wealth Managers Ltd. for Rs.25 Crores. Centrum's existing Retail Broking, PMS and Financial Products Distribution businesses will move into Centrum Wealth Managers Ltd.

* Centrum will have majority representation on the Boards of Centrum Direct Ltd. and Centrum Wealth Managers Ltd.

Commenting on the partnership, Mr. Chandir Gidwani, Vice-Chairman, Centrum Capital Ltd. said, "The global financial community is unanimous in its view that India is the most exciting market for the financial services sector - and the time is now. We view our partnership with the Future Group through this lens and are privileged to have this association. There will be huge future wealth creation in India and we are delighted to collaborate with the Future Group to create a world class, professional and credible consumer centric organization."

Sameer Sain, MD & CEO, Future Capital Holdings, said: "Future Capital Holdings continues to execute on its vision to be the premier retailer of financial products and services to the Indian consumer. The Centrum partnership is consistent with our strategy to grow our Future Money franchise and to provide our customers with a broad range of products and services. We are pleased to be associated with an innovative and progressive firm such as Centrum Capital."

The tie up will additionally give an impetus to Centrum's retail business by giving access to the Future Group's locations and formats across India and the opportunity to service the group's huge and loyal customer base for products such as Forex and its allied services and Retail Wealth Management. Centrum will fine-tune their strategies and services portfolio in tandem with Future Money and together offer a complete "One Stop" solution to retail clients / investors.

Centrum Capital will also be able to enhance their capabilities and gain immensely from Indivision's international networking, experience and expertise in global financial markets.

About Centrum

Over the last decade, Centrum has established itself as one of the leading financial services groups in the country and through its dynamic growth has demonstrated its intent of being a dominant player in this segment, by aggressively and consistently participating in all the exciting opportunities the sector offers.

Centrum Capital has acquired a reputation of being qualitatively one of the best investment banks in the mid-cap space. It has brought together one of the most talented pools of financial services professionals and backed it up with an intensive research driven strategy, cutting edge technology and infrastructure.

Centrum Broking an associate company of Centrum Capital Ltd. has also made its mark in a very short time span as one of the most professional institutional broking businesses providing investment services to both global and local institutions and competing with the best in the space.

The retail initiatives taken by Centrum over the last few years have borne fruit and it is today one of the fastest growing retail networks with a bouquet of products such as Forex and its allied services, Retail Broking (on line and off line) PMS, and financial products distribution. The company has today over 75 branches and services over 5,00,000 retail clients across its products.

About Future Capital Holdings

Future Capital Holdings Limited (www.fch.in) is the financial services arm of the Future Group, which is a business group focusing on consumption-led businesses in India and which is also one of India's leading organized multi-format retailers. FCH was incorporated in 2005 and is promoted by Pantaloon Retail (India) Ltd ("PRIL"), Kishore Biyani and Sameer Sain.

FCH specializes in alternative investments such as Private Equity, Real Estate and in addition, to other lines of business, also operates a retail financial business under the brand name; Future Money.

About Indivision

Indivision India Partners, Mauritius is an US$ 425 MN Private Equity Fund. The Investors in Indivision include global institutions and family offices. Indivision has made several investments in India, including in Capital Foods, Lilliput Kinds Wear, BE Billimoria Constructions, VLCC, Global Hospitals, Sula Wines, Tops Security, Future Media, Regen Powertech, etc.