Network - Outcome Of Board Meeting

Network Ltd has informed that the Board of Directors of the Company at its meeting held on September 07, 2007, has approved the following:

1. To allot 74,50,000 Warrants on preferential basis to non promoter group at a price of Rs 50/- each on the terms and conditions mentioned below. Further, the Company has received Rs 3,72,50,000 equivalent to 10% of total value of warrants from the allottees of the warrants as per details.

a. Paliwal Infrastructure Pvt Ltd

- No of Warrants allotted : 2000000

- 10% value of warrants (amount in Rs) : 10000000

b. Paliwal Overseas Pvt Ltd

- No of Warrants allotted : 1500000

- 10% value of warrants (amount in Rs) : 7500000

c. Ashok Sawhney & Sons (HUF)

- No of Warrants allotted : 1900000

- 10% value of warrants (amount in Rs) : 9500000

d. Mr. Ravi Madan

- No of Warrants allotted : 1450000

- 10% value of warrants (amount in Rs) : 7250000

e. Finco Securities Pvt Ltd

- No of Warrants allotted : 600000

- 10% value of warrants (amount in Rs) : 3000000

Terms & conditions attached to issuance of Warrants:

i. Warrants carrying rights to subscribe to equal number of equity shares. The option to get converted into equity shares shall be exercised within a period of l8 months from date of allotment of warrants.

ii. The face value of Equity Shares shall be Rs 10/- per share.

iii. The Equity Shares shall be issued at Rs 50/- per share inclusive of a premium of Rs 40/- per share.