MELSTAR

Melstar Information Technologies Limited has informed the Exchange about Acquisition

Melstar Information Technologies Ltd. has informed the Exchange that the Hon'ble High Court of the Judicature at Bombay has sanctioned the Scheme of Arrangement of Melstar Fashions Private Limited with Melstar Information Technologies Limited on September 15,2006. The Scheme will become effective upon the filing of the certified copies of the orders of both the Companies with the Registrar of Companies, Mumbai. The appointed date of the Scheme is April 01,2005.

Melstar Information Technologies Ltd. has informed the Exchange that in accordance with the directions of the Hon'ble High Court of Bombay in Company Application No. 681 of 2006, meeting of equity shareholders was convened and held on July 27, 2006 and the equity shareholders have approved the Scheme of Arrangement of Melstar Fashions Private Limited with Melstar Information Technology Limited with requisite majority.

Melstar Information Technologies Ltd. has informed the Exchange that the Board of Directors of the Company at their meeting held on March 28, 2006 considered and approved the Scheme of Arrangement of Melstar Fashions Private Limited with the Company and their respective Shareholders (the 'Scheme'). Melstar Fashions Private Limited owns the Trademark "MELSTAR", which is being used the Company currently under a right to use agreement without any consideration. The Scheme will achieve transfer of the Trademark to the Company. The Scheme of Arrangement envisages the following: . 1) Amalgamation o