Acquisition

Headlam Group PLC
28 October 2002


To : Company Announcements Office

Primary Markets Division

The London Stock Exchange

Company announcements Tel [phone]


Company: Headlam Group plc

Old Mutual Securities

For immediate release 28 October 2002

Contact Susan Brice Tel: [phone]



                               Headlam Group plc


Headlam Group plc ('Headlam'), the leading UK floorcoverings distributor,
announces that on Friday, 25 October it acquired the business and certain assets
and liabilities of G.A.A.S Flooring Limited and G.A.A.S Flooring Distributors
(Cambridge) Limited (both in administration), being regional distributors of
contract floorcoverings located in Watford and Cambridge respectively,
collectively trading as G.A.A.S.


G.A.A.S will be relocated to Headlam's distribution centre in Bedford,
increasing it's commercial market presence in the south of England, and is in
keeping with the group's strategy of operating multiple trade brands from
existing facilities to achieve an enhanced market presence.


Consideration based on the net assets acquired was £150,000.


End

28 October 2002


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