First Day of Dealings

RNS Number:7083O
India Outsourcing Services PLC
26 February 2008

For immediate release                                         
26 February 2008

INDIA OUTSOURCING SERVICES PLC
(to be renamed INDIAN RESTAURANTS GROUP plc)

First Day of Dealings of Enlarged Share Capital on AIM

Acquisition of the Mela Group

Change of name from India Outsourcing Services plc to Indian Restaurants Group plc

India Outsourcing Services plc (to be renamed Indian Restaurants Group plc) is pleased to announce its first day of dealings on AIM today following its acquisition of the Mela Group. The Company's new ticker symbol will be 'IRGP'. It is expected that the change in the Company's name and ticker symbol will become effective at 8.00am on 27 February 2008.

India Outsourcing Services plc announced on 29 January 2008 that it had conditionally agreed to acquire the London-based Mela Group of three Indian restaurants and a catering business ("Acquisition") for a Consideration of £1,998,999 to be satisfied by £100,000 in cash and by the issue of up to 7,201,365 new ordinary shares at 26.37p per share ("Consideration Shares"), some of which are conditional on the achievement of certain targets ("Deferred Consideration Shares").

The Initial Consideration Shares represent 27.53 per cent of the Enlarged Share Capital, and the Consideration Shares in total will represent up to 43.17 per cent of the further enlarged share capital assuming the issue of the Deferred Consideration Shares.

As at 25 January 2008 (being the date on which the Ordinary Shares were suspended from trading on AIM), the closing mid market price of an Existing Ordinary Share was 20.5p. At this price the Mela Group was valued at approximately £1.48 million and India Outsourcing at approximately £1.94 million.

Dealings in the Enlarged Share Capital consisting of 9,479,167 Existing Ordinary Shares and 3,600,683 Initial Consideration Shares commence on AIM today.

Commenting on the successful completion of the Acquisition, Haresh Kanabar, the Company's Non-Executive Chairman and Finance Director, said: "I am delighted that trading has commenced in the new ordinary shares. We look forward to updating shareholders in due course on our plans to roll out the Mela and Chowki restaurant brands to create the UK's first national, branded provider of Indian cuisine."

Full details of the Proposals were set out in the Admission Document posted to shareholders dated 28 January 2008 and which is available from the Company's website at www.indianrestaurantsgroup.com.

For further information please contact:

India Outsourcing Services Plc (to be   020 7297 0012
renamed Indian Restaurants Group plc)

Amit Pau, Chief Executive
www.indianrestaurantsgroup.com

W. H. Ireland Limited                   0121 265 6330

Tim Cofman-Nicoresti / Katy Birkin

Buchanan Communications                 020 7466 5000

Mark Court