RNS Number:6192E
Metalrax Group PLC
4 June 2001


 Acquisition of Classic Housewares
 
 
 The Board of Metalrax Group PLC (the "Group") announces that it
 has purchased the assets (excluding trade debtors) and business
 of the Classic Housewares ("Classic") division of Frederick
 Cooper plc (the "Vendor") for a consideration (subject to
 adjustment) of #0.8 million.

 Classic is a UK based manufacturer and distributor of
 kitchenware products principally bakeware and kitchen tools and
 gadgets. In the year ended 31 July 2000 Classic made an
 operating loss, before central management charges, of #0.2
 million on sales of #7.3 million.  The net book value of the
 assets the subject of the acquisition is estimated to be
 approximately #0.8 million. 

 The UK market for kitchenware is primarily sold through UK
 supermarket chains and other major multiple retailers. Classic
 will expand and enhance the product ranges of the Group's
 housewares division. 

 The consideration for the purchase is #0.8 million in cash,
 together with the assumption of the creditors of the business
 as at completion. The cash consideration is subject to upwards
 or downwards adjustment by #1 for every #1 by which net asset
 value at completion (to be verified by completion accounts)
 exceeds or falls short of #0.8 million, with a maximum upward
 adjustment of #0.2 million. 

 As part of the sale arrangements. the Group has entered into an
 ongoing trading agreement with the Vendor whereby its coil
 coating business, Cooper Coated Coil Limited, will continue to
 supply coated metal, the principal raw material for Classic's
 non-stick bakeware products, to the purchaser for a minimum
 period of four years following the acquisition, on arms length
 commercial terms.  

 Further information:    Mr Eric Moore, chairman,              
                         Tel:  0121-433 3444

 Issued by Financial Public Relations Ltd on behalf of
 Metalrax Group PLC Tel:  Simon Preston  -  020 7353 8906
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