Acquisition

Close Brothers Group PLC
22 March 2005

                                                                   22 March 2005

             CLOSE BROTHERS GROUP PLC ("CLOSE BROTHERS") ANNOUNCES
                   THE ACQUISITION OF SEYDLER AG ("SEYDLER")

The Board of Close Brothers announces that, subject to receipt of regulatory
clearance in Germany, it has agreed to purchase Seydler, a specialist broker/
dealer and market-maker based in Frankfurt owned by the Seydler family. The
initial consideration for the purchase is €23.5 million, payable in cash on
completion, subject to adjustment following the determination of Seydler's
completion balance sheet. Further consideration will be payable, expected to be
in the range of €4-6 million, dependent on the results of Seydler in the two
years to 31st December 2006. In the year to 31st December 2004, Seydler had net
revenue of €21 million and earned a profit before tax of around €3.6 million
after adjusting for the impact of certain one-off items.

Seydler is one of the leading securities trading firms present on the floor of
the Frankfurt stock exchange, the largest of the seven floor exchanges operating
in Germany. Seydler's particular strengths are in managing the floor trading
order books of foreign equities and bonds and domestic bonds in Frankfurt where
it ranks within the top two by value. It is also the leading market-maker in the
trading of US equities on Xetra, Deutsche Borse's electronic order book system.
Its presence at the Dusseldorf stock exchange provides it with the rights to
execute orders in substantially all German domestic equities.

Since 2002, in response to Deutsche Borse's efforts to enhance liquidity in the
shares of smaller companies traded on Xetra, Seydler has been active in seeking
to become the official designated sponsor to such companies. This fee-earning
role includes a requirement to promote liquidity in the client's shares with the
potential to increase Seydler's trading volumes and participate in share
placements on behalf of both client companies and institutional investors.
Seydler is mandated by 77 German companies to act as their designated sponsor,
providing it with the longest list of such quoted corporate clients in the
German market.

Mr Hans Goehtz and Mrs Hannelore Eberz, members of the management board of
Seydler, have agreed to subscribe in cash for a minority interest of 8% in the
business, reflecting their confidence in and commitment to it. Seydler will
operate as a separate company, alongside Winterflood, within Close's
market-making division.

The Board of Close Brothers believes that Seydler represents an opportunity to
acquire a securities trading business on attractive terms situated in the heart
of Europe's largest and wealthiest economy with long term growth potential. With
a total of 79 employees, Seydler has the systems, licences and experienced
trading teams to enable it to participate in a wide range of equity and fixed
interest trading activities. Furthermore, it has an opportunity to increase its
market share in German domestic equities trading following the recent
announcement by Deutsche Borse of changes to the system of floor trading in
Frankfurt, the intention of which is to increase the volume of retail
transactions executed in that forum.

Since 1998 Close Brothers has built its position in Germany through the
acquisition of a majority stake in Freyberg Close Brothers, a leading mid market
corporate finance firm, and the creation of Close Finance GmbH, a fast growing
debt factoring business.

Press enquiries:

Close Brothers Group plc:     Colin Keogh, Chief Executive - [phone]
Brunswick Group LLP:          Rupert Young - [phone]



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