Offer for IML

Inchcape PLC
7 February 2002




INCHCAPE PLC

Inchcape launches pre-conditional offer to acquire the minority holding in
Inchcape Motors Limited Singapore

Inchcape plc today announces that the Group has launched a pre-conditional
voluntary cash offer to buy out the minority holding in its quoted Singaporean
subsidiary, Inchcape Motors Limited (IML).  This offer is being made by its
wholly owned subsidiary, Inchcape Special Investments BV.

The offer is pre-conditional on the Independent Directors of IML recommending
that, on or before 28 February 2002, the minority shareholders accept the
offer. If made, the offer should be completed by the end of June 2002.

IML is the national importer and retailer for Toyota, Lexus and Suzuki
automobiles in Singapore, and for Toyota and Lexus in Brunei.

Inchcape owns c. 63.3% of IML and is making a cash offer of S$2.30 per share
for the remaining c. 36.7% of the shares. The offer values IML at c. £144.8m
and the minority stake at c. £53.2m. The profit before tax of IML for 2000 was
£27.1m (S$70.4m) and net assets were £104.2m (S$271.0m). 

Having IML remain a quoted company in Singapore adds no value to Inchcape. IML
does not require access to its equity capital market, as Inchcape is able to
appropriately fund its operations.

If the offer is successful and IML is de-listed from the Singapore Exchange
Inchcape will benefit from no minority interest charge regarding IML and the
saving of the costs associated with IML's listing. 

The pre-conditional voluntary cash offer announcement issued to the Singapore
market can be accessed at the website of the Singapore Exchange Limited,
www.sgx.com.sg


Notes to editors

For further information, please contact:

Group Communications, Inchcape plc  
020 7546 0022

John Olsen/Tom Leatherbarrow, Hogarth Partnership Limited  
020 7357 9477


7 February 2002





                      This information is provided by RNS
            The company news service from the London Stock Exchange