Joint Venture

St. James's Place Capital PLC
25 July 2000


St. James's Place Capital plc ('SJPC')
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St. James's Place Capital announces European joint venture

St. James's Place Capital announces that it intends to enter into a joint
venture with Securitas Capital, a global private equity fund, with the  aim of
establishing a European financial services business.  This will include a new
life assurance company to be registered in Dublin; a SICAV based in Luxembourg
and, as the first step in the distribution network, creating a salesforce
through a distribution arm (known as a SIM) in Italy.  Paul Bradshaw will head
the European operation with Patrizia Misciattelli   'administratore delegato'
of the Italian operation which will be known as Nascent. Paul Bradshaw will
resign from the Board of SJPC on completion of the joint venture.

SJPC last year announced a project to establish a European operation as part
of its Dublin-based subsidiary J.Rothschild International Assurance (JRIA).
This new venture will replace that project and take over the SIM and the SICAV
which have been established by JRIA, as well as both the Italian
infrastructure that has been created and the personnel of JRIA dedicated to
the European operation.

The project involves setting up a major sales network throughout Italy.  While
it offers the prospect of highly attractive returns, it requires substantially
more capital than the Board of SJPC felt it prudent to commit in the light of
its objective of producing smooth organic growth in Group earnings. In April
SJPC stated that it was involved in discussions with potential financial
partners. Today's announcement reflects the agreement in principle  reached
with Securitas Capital to effect this aim.

SJPC is to take a one-third share and Securitas Capital a two-thirds share in
the joint venture, which envisages a total capital commitment of some £50
million, phased over a number of years, for the Italian operation.  The
parties will look for an Italian partner with knowledge and expertise in the
sector to take up a minority interest. SJPC's contribution to the venture will
reflect the money so far invested in building up the operation. The net assets
to be sold by SJPC amount to approximately £4.5million. Once the terms of the
agreement with Securitas Capital have been finalised, the implementation of
the transaction will be subject to regulatory consents.

Sir Mark Weinberg, Chairman of SJPC commented:

'We are delighted to have established this relationship with Securitas Capital
and look forward to this initiative making a significant contribution to the
SJPC group's profits in due course.' 

Enquiries
Brunswick Group Ltd - Alison Hogan 0207 404 5959