We have proposed a novel multi-channel regeneration scheme for wavelength division multiplexed systems, which is based on four wave mixing in a highly nonlinear fiber. A 40-channel wavelength division multiplexed signal having data rate of 10 Gbps per channel is divided into five groups. Each group is composed of eight channels and requires a single pump laser source and two segments of highly nonlinear fibers to regenerate the eight channels. Therefore, our proposed scheme requires four times lesser number of highly nonlinear fibers compared to the previously proposed techniques. The regeneration performance for all the forty channels is presented through bit error rate analysis at low optical signal to noise ratio of 15 dB. Simulation results show that an average improvement of 4.246 dB, 3.935 dB, 3.72 dB, 2.71 dB and 2.593 dB in receiver sensitivities has been observed for all the five groups of channels, respectively.