Heads of Terms Signed

Cater Barnard PLC
18 March 2002


18th March 2002


Cater Barnard plc signs heads of terms with Confida

Cater Barnard plc, the AIM listed international financial services provider and
advisory group, has signed heads of terms to acquire Confida Mortgages, a
mortgage broking company and internet financial products portal. Its focus is on
professional introducers, such as accountants and solicitors sharing commissions
on introducing their clients to this service. Confida is an early stage business
with little trading history to date.  However, its management are experienced
advisers particularly in the mortgage broking sector. A further, fuller
announcement on the acquisition will be made once negotiations and due diligence
have been completed. The maximum consideration for this transaction will be £6
million.

Cater Barnard is also in advanced negotiations to appoint an individual to
manage its IFA operations because it intends to acquire additional IFAs in the
medium term.  The Company is also in advanced stages of listing its shares on
the regulated unofficial market of the Frankfurt Stock Exchange which is being
handled by OTC Derivatives & Co, the Geneva based investment banking operation.
The Directors hope this will give the Company exposure to the German market
where the Company intends to make acquisitions in the financial services sector
as part of its expansion into European territories.

This is the first acquisition that Cater Barnard plc plans to make in the
Independent Financial Advisor sector which the Directors believe is a major
growth area for two reasons; the first being that increasingly, individuals
prefer to seek independent financial advice when making financial decisions, the
second is that the Directors see an opportunity for the Company to be a
consolidator of the IFA sector.  Traditionally IFAs are small businesses whose
founders can generate income but are unlikely to achieve capital growth.  Cater
Barnard will provide a means by which the founders of Confida, and other
potential IFA business acquisitions, will be able to share in the capital value
of their own business.

Mark Garratt, UK Managing Director of Cater Barnard plc, commented, 'We're
delighted to announce that discussions are taking place with Confida.  Our
intention is to build Cater Barnard into a Pan-European IFA and corporate
finance company.  We see the IFA sector as being a major growth area and intend
to establish a substantial group in this area.'

Cater Barnard plc intends to build a network of IFAs covering a broad
geographical reach over the next couple of years.  This network will become a
division of Cater Barnard plc, the holding company, which will provide the
corporate finance expertise and money raising skills to help develop this
division going forward.


                                      Ends


For further information, please contact:


Mark Garratt                             Simon Robinson/ Justine Howarth
Cater Barnard plc                        Parkgreen Communications
Tel: [phone]                        Tel: [phone]



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