ELCO Eleco Public Limited Company

RNS No 6184x
ELECO HOLDINGS PLC
12th December 1997

                      Eleco Holdings plc
           Eleco Holdings sells Davis International 

The Board of Eleco Holdings plc ("Eleco")  announces the 
sale for cash of its cable management business, Davis 
International ("Davis"), for an amount equal to its book 
value at 30 November 1997 for which #2.1 million will be 
paid at the outset pending final determination of the book 
value of the business at that date.  The business has been 
sold to The Wiremold Company, a leading US manufacturer of 
cable management systems.  The proceeds of sale will be 
used to reduce bank borrowings.

Davis reported a loss before tax for the year ended 30 June 
1997 of #925,000.  The book value of Davis' business at 30 
June 1997 was #2,392,000.  The unaudited loss before tax of 
Davis for the four months ended 31 October 1997, as shown 
in its management accounts, was #128,000.  The directors 
will also be making a provision in the interim accounts to 
31 December 1997, of approximately #350,000, in relation to 
assets employed in the business which are not being sold to 
Wiremold.

John Ketteley, Executive Chairman of Eleco, commented:

"In my recent statement with the Report and Accounts I said 
I would be pursuing as a key objective a reduction in the 
Group's gearing which at 30 June 1997 was 82 per cent., 
based on borrowings of #4,955,000 at that date.  As a 
result of the sale of Davis' business, on a pro-forma basis 
and taking account of property sale proceeds received since 
30 June 1997, gearing would reduce to approximately 41 per 
cent.."


Further information:

John Ketteley                     Telephone:  01992 440311
Executive Chairman, Eleco Holdings

David Dannhauser,                 Telephone:  01992 440311
Finance Director, Eleco Holdings

David Millham                     Telephone: 0171 256 5756
Millham Communications


END

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