Binani Cement Limited (the “Company”), a subsidiary of Binani Industries Ltd., (BIL), has fixed the Offer price at Rs 75 for its Initial Public Offering (“IPO”) of 20,500,000 Equity Shares of Rs. 10 each (“Equity Shares”) for cash, through an Offer for Sale by JP Morgan Special Situations (Mauritius) Limited (“Selling Shareholder”).

The Offer of Equity Shares was made through a 100% Book Building Process and had a price band of Rs. 75 to Rs. 85 per Equity Share. The IPO was open for subscription from May 7, 2007 to May10, 2007 and was subscribed 1.36 times. The Offer constitutes 10.09% of the Post-Offer paid-up capital of the Company. The Equity Shares are proposed to be listed on the National Stock Exchange of India Limited (“NSE”) and the Bombay Stock Exchange Limited (“BSE”).

The Company is certified as ISO9001, ISO14001 and OHSAS18001 compliant. It is focused on key markets in northern India with a significant presence in Rajasthan, Haryana and Delhi besides Gujarat in Western India. It has facilities for manufacture of 2.25 MTPA of cement. It manufactures OPC and PPC, with an OPC: PPC product mix of about 71:29 in fiscal 2005, 63:37 during fiscal 2006 and 51:49 for fiscal 2007. The Sirohi facility has been set up with the support of the Denmark-based F. L. Smidth and Larsen and Toubro Limited.

The Book Running Lead Manager (BRLM) to the Offer is ICICI Securities Primary Dealership Limited and the Co-Book Running Lead Manager (CBRLM) is JP Morgan India Private Limited.

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Disclaimer:

Binani Cement Limited (the “Company”) proposed, subject to market conditions and other considerations, a public offer of its equity shares and filed a Red Herring Prospectus with the Registrar of Companies, West Bengal at Kolkata. The Red Herring Prospectus is available on the website of the Securities and Exchange Board of India (SEBI) at www.sebi.gov.in and on thefollowing websites of BRLM, ICICI Securities Primary Dealership Limited and CBRLM, JP Morgan India Private Limited :www.icicisecurities.com and www.jpmipl.com.

Investors should note that investment in equity shares involves a high degree of risk and for details relating to the same, see the section titled “Risk Factors” of the aforementioned Red Herring Prospectus. This press release does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any equity shares, nor shall it or any part of it nor the fact of its distribution form the basis of, or be relied on in connection with, any contract or investment decision. The information contained herein is restricted and is not for publication or distribution in or into the United States, Australia, Canada or Japan. This press release is not an offer for sale within the United States (U.S.) of any equity shares or any other security of the Company. The securities of the Company have not been and will not be registered under the U.S. Securities Act, 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold in the United States absent registration under the U.S. Securities Act or an exemption from such registration. There will be no public offering of the securities referred to herein in the U.S.