Citi Venture Capital to pick up 19.9% in Anand Rathi

Mumbai, March 23, 2007: Anand Rathi Securities Ltd. today announced participation of 19.90% in its equity by Citigroup Venture Capital International (CVCI), a leading foreign private equity investor. The funds raised will be deployed for faster growth both organic, inorganic and working capital requirements.

According to Mr. Anand Rathi, Chairman, Anand Rathi Securities Ltd, "We are happy to have CVCI as a financial partner with us for our long term growth. Financial partnership with a renowned international fund like Citigroup Venture Capital International (CVCI) and extra resources will assist us in achieving faster growth. The funding will be used to further expand the company's network of branches and create yet greater value for our customers through advanced technology."

About Anand Rathi Securities Limited

AnandRathi set up in 1994, is one of India's fastest growing full-service securities firm with a presence in more than 350 locations across India and offices in Dubai & Bangkok.

AnandRathi is very strongly placed in its Wealth Management services and was recently ranked by Asia Money 2006 poll amongst South Asia's top 5 wealth managers for the ultra-rich. The Company is presently providing Wealth Management services mainly in Mumbai, Bangalore & other metro towns and is planning to extend it to all other major towns in the country.

The Company is a leading Primary Market Distributor and was ranked 6th in FY2006 for All India Broker Performance in equity distribution in the High Networth Individuals (HNI) Category & 9th in the Retail Category having more than 5% market share.

AnandRathi is a leading player in the Retail Segment. The company has a customer base of over 10Mn and pan India presence in all States with more than 350 branches/ business associates. The company is planning to expand aggressively in the next one year.

The Company's Investment Banking division offers a range of advisory services for Strategic alliances and in Capital Raising areas. The products & services offered include PO/Rights/Secondary issues, Private Equity, QIP placement, Merger & Acquisitions and Management Buy-outs.

The company also offers Alternative Investment options that include Structured products, Market neutral strategies, Arbitrage products, Capital protection products and Real Estate fund.

The Anand Rathi Real Estate Venture Fund with a corpus of INR 1500 Mn is primarily a development oriented fund with a focus on residential projects in tier II and III cities and selective investment in other sectors like commercial, retail, hotels etc.