Acquisition

Lookers PLC
03 October 2007

                                                                  3 October 2007



                                  Lookers plc



  Acquisition of Dutton Forshaw Group Limited by Lookers from Lloyds TSB Asset
                            Finance Division Limited





Lookers plc ('Lookers'), one of the UK's leading motor retail groups, is pleased
to announce the acquisition of the entire issued share capital of Dutton Forshaw
Group Limited ('Dutton Forshaw'), the motor retail division of Lloyds TSB Asset
Finance Division Limited ('Lloyds TSB')  for a total consideration of up to £60
million, payable in cash on completion. This comprises a payment of
approximately £28 million for the entire issued share capital of Dutton Forshaw
and the assumption of a maximum of £32 million of debt.



The acquisition is a Class 2 transaction for Lookers under the Listing Rules and
is expected to complete on 26 October 2007.



In the financial year to 31 December 2006, Dutton Forshaw generated sales of
£431 million, reported an operating profit of £3 million and had gross assets of
£129 million.



Lookers expects to retain the vast majority of employees of Dutton Forshaw.



Dutton Forshaw comprises 31 outlets operating under the Dutton Forshaw and
Dovercourt brands and its acquisition is in line with the Lookers strategy to
expand the existing market areas in which it already operates with preferred
manufacturers. The acquisition will increase the Group's number of Ford outlets
from one to eight, Mercedes-Benz outlets from four to eight and VW outlets from
five to nine. Other outlets acquired include Chevrolet, Chrysler Jeep and Dodge,
Citroen, Honda, Hyundai, Land Rover, Peugeot and Skoda.



In particular, the acquisition will strengthen Lookers' presence in the South
East and North West of England, and provide a foothold in South Wales.




Commenting on the acquisition, Ken Surgenor, Chief Executive of Lookers plc
said:



'This acquisition provides Lookers with an ideal opportunity to broaden our
geographical spread and to deepen our relationships with our manufacturer
partners, including our newer partners Ford and Mercedes-Benz.



'We are delighted to have acquired such high quality dealerships which we expect
will be earnings enhancing in our first full year of ownership and we remain
focused on growing Lookers organically and by acquisition.'



For further information:


Lookers plc                                            Telephone:  [phone]
Ken Surgenor, Chief Executive
David Dyson, Finance Director

NM Rothschild & Sons Limited                           Telephone:  [phone]
Richard Bailey

Hudson Sandler                                         Telephone:  [phone]
Andrew Hayes / Nick Lyon / Kate Hough




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