CLI Cls Holdings Plc

Embargoed: 0700hrs 23 February 2004

                               CLS HOLDINGS PLC                                

                                    ("CLS")                                    

                             ACQUISITION IN FRANCE

The Board of CLS is pleased to announce that its wholly owned subsidiary
Citadel Holdings plc has acquired a further property in France, 2/4 boulevard
Georges Cl�manceau, 92400 Courbevoie.

This freehold property is located in central Courbevoie, a suburb to the west
of Paris, adjoining La D�fense. The property was constructed in 1972 and
comprises 1,972 sq m (21,227 sq ft) of office space and 20 car parking spaces.
The property is 91% let and the vendor provided a one year rent guarantee for
the vacant space. The net rental income from the property is Euro443,217 (�
299,171) which equates to Euro224.75 per sq m (�14.09 per sq ft) inclusive of car
parking. The total purchase price for the property was Euro5,040,000 (�3,381,750),
inclusive of all costs, representing an initial yield of 8.8%. The return on
equity is 36.0% whilst the cash return on equity is 20.7%, based on a completed
loan facility of Euro4,000,000 (�2,700,000) at an interest rate of 3.5% per annum
on a floating rate basis.

L'Etoile Properties advised CLS in respect of this acquisition.

Executive Chairman, Sten Mortstedt, commented:

"I am pleased with this further acquisition of an office building in the Paris
area. The acquisition demonstrates that we can still obtain very attractive
financial returns by investing in high quality office buildings in France."

                                    -ends-                                     

For further information, please contact:

Sten Mortstedt, Executive Chairman

Tom Thomson, Chief Executive & Vice Chairman

CLS Holdings plc

Tel. +44 (0)20 7582 7766

www.clsholdings.com

Adam Reynolds / Ben Simons

Hansard Communications

Tel. +44 (0)20 7245 1100



END

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