Statement re:Indicative Offer

Close Brothers Group PLC
22 January 2008


22 January 2008



Close Brothers Group plc ("Close Brothers" or the "Company")


Statement in response to announcement by Cenkos Securities plc ("Cenkos")


The Board of Close Brothers notes the announcement made by Cenkos earlier today
withdrawing its indicative offer for Close Brothers.

On 8 January 2008, the Board of Close Brothers received an improved indicative
proposal from Cenkos and Landsbanki (together the "Consortium") at 1025 pence
per Close Brothers share. On the basis of this revised proposal, Close Brothers
engaged in comprehensive discussions with Cenkos and Landsbanki in order to
understand and advance the Consortium's proposal. During this engagement, Close
Brothers was furnished with details of the conditions that the Consortium would
need to satisfy in order to deliver a simultaneous takeover and breakup of the
Company, in particular the requirements that would need to be met in order for
the Consortium to obtain financing for its indicative proposal. The Board of
Close Brothers concluded that there was considerable uncertainty surrounding the
deliverability of the Consortium's indicative proposal, especially in the light
of current market volatility.

On 17 January 2008, Cenkos stipulated that a precondition of the Consortium's
ongoing engagement was the execution of an agreement restricting Close Brothers'
flexibility to investigate a transaction with other parties. This agreement,
inter alia, would prevent Close Brothers from soliciting offers for the Company
or any of its divisions, prevent the Company from agreeing a break fee
arrangement with any third party and would deliver a substantial work fee to the
Consortium for each week it continued due diligence. Given the considerable
uncertainty surrounding the deliverability of the Consortium's indicative
proposal and the potential interest of third parties, the Board of Close
Brothers concluded that it would not be in shareholders interests to restrict
the Company's flexibility by entering into such an agreement. As a result,
Cenkos has decided to withdraw from discussions with Close Brothers.

The Board of Close Brothers remains committed to delivering maximum value for
shareholders and can confirm that it remains in discussions with a number of
parties regarding potential offers for Close Brothers. These discussions remain
at an early stage and, particularly in light of current market volatility, there
can be no certainty that they will lead to an offer.

Further announcements will be made as and when appropriate


For more information please contact:

Close Brothers Group

Colin Keogh, Chief Executive                              020 7426 4000
Justin Clark, Head of Communications                      020 7655 3784


Maitland

David Waller                                              020 7379 5151
Anthony Silverman                                         020 7379 5151




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