VIKASH METAL & POWER LIMITED

(The Company was originally incorporated as Vikash Metal Private Limited on 4th July, 1996 with Registrar of Companies, West Bengal and subsequently converted into Public Limited Company on 13th December, 2002 and the name of the Company was changed to Vikash Metal Limited. The name of the Company was further changed to Vikash Metal & Power Limited w.e.f. 21st January, 2003)

Registered Office:
35, Chittaranjan Avenue, 6th Floor, Kolkata - 700 012, India
Tel.: (033)22115115 / 22116114, fax: (033)22115390
E-mail: info@vikashmetalpower.com Website: www.vikashmetalpower.com

BASIS OF ALLOTMENT
PUBLIC ISSUE OF 1,25,00,000 EQUITY SHARES OF RS.10/- EACH ("EQUITY SGARES")
OF VIKASH METAL & POWER LIMITED (THE "COMPANY"), AT A PREMIMUM OF RS.10/-
PER SHARE AGGREGATING RS. 2500 LAC OF WHICH 12,50,000 EQUITY SHARES BEING
10% OF THE ISSUE SIZE TO BE COMPULSORILY ALLOTTED TO QIBs.
(Issue Price is 2 times the face value of equity shares of the company)

The Board of Directors of VIKASH METAL & POWER LIMITED wish to thank the investing public, for their response to the Issue which opened for subscription on Monday, October 24, 2005 and closed on Friday, October 28, 2005. The Issue has received 32,145 valid applications for 4,53,78,250 Equity Shares resulting in 3.63026 times over-subscription. The Basis of Allotment was finalized in consultation with the Designated Stock Exchange-Bombay Stock Exchang, ("BSE") on Friday, November 18, 2005. The details of the Applications received in the Issue (before technical rejections) are as under:

A) ALLOTMENT OF RETAIL INDIVIDUAL INVESTORS (Applying up to 5000 shares)
The Company has received 32,044 valid applications for 3,63,84,000 Equity Shares in this category i.e. 80.18% of the    total valid subscription received resulting in 3.63023 times over-subscription. The number of shares allotted to Retail Individual Investors is 1,00,22,823. The details of category-wise allotment are given below:

B) ALLOTMENT TO QUALIFIED INSTITUTIONAL INVESTORS
The Company has received 4 valid applications for 14,75,000 Equity Shares in this category resulting in 1.18 times subscription. The number of shares allotted to Qualified Institutional Investors is 12,50,000 i.e. 10% of the issue size on a proportionate basis.

C)ALLOTMENT TO NON-RETAIL CATEGORY
(i.e. Individual applying for more than 5000 shares and all corporates)
The Company has received 97 valid applications for 75,19,250 Equity Shares in this category i.e. 16.57% of the total valid subscription received resulting in 6.12566 times subscription. The number of shares allotted to Non-Retail Category is 12,27,677. The details of category-wise allotment are given below:

Despatch of refund orders, wherever applicable, has been completed on 21st Nov., 2005. Credit of shares to the beneficiary accounts of the successful allottees on COSL has been completed on 21st Nov., 2005 and NSDL on 22nd Nov., 2005 subject to verification of the beneficiary details with the depositories concerned. The Company has already made listing application to the BSE and NSE and other formalities regarding listing of equity shares are in the process of completion.

The details of the allotment made has been hosted on the website of registrars to the Issue, Maheshwari Datamatics Private Limited at www.mdpl-online.com

All future correspondence in this regard may kindly be addressed to the Registrar to the issue quoting fyll name of the First / Sole applicant, Serial number of the application form, number of shares applied for and Bank Branch where the application had been lodged, at the address of the Registrars given below:

LEAD MANAGERS TO THE ISSUE____________                  REGISTRAR TO THE ISSUE________________