Further re Ludowici offer

THE WEIR GROUP PLC

13 March 2012

Weir withdraws from bidding for Ludowici

The Weir Group PLC ("Weir") notes the decision by the Review Panel of the Australian Takeovers Panel to uphold the declaration and orders of the Initial Panel ("the Panel").  The Panel found  FLSmidth & Co. A/S ("FLS") caused "unacceptable circumstances" by failing to immediately correct the statements in an article published on Reuters, on 23 January 2012 relating to its initial A$7.20 per share proposal for Ludowici Limited ("Ludowici").  

Although the Panel made orders requiring FLS to compensate shareholders who could establish they suffered loss as a result of the statements, the Panel declined to make orders holding FLS to these statements.

Following this decision, Weir's binding offer to Ludowici to acquire all of the shares in Ludowici, as outlined in Weir's press release dated 1 March 2012, lapsed.  

Weir confirms that it will make no further offer and has withdrawn from bidding for Ludowici.^[1]

Weir Chief Executive Keith Cochrane said, "Whilst Ludowici represented an attractive opportunity to expand our market leading Australian business, our focus in any acquisition is to create value for Weir shareholders. A materially higher offer would not have met the rigorous financial criteria which we apply to all acquisitions."

Contact details:  The Weir Group PLC
Vicky Ferrier, Head of IR and Communications	Tel:  + 44 141 308 3782
Jonathan Milne, Communications Manager	Tel:  + 44 141 308 3781 / + 44 771 378 9536
The Maitland Consultancy	Tel:  + 44 207 379 5151
Peter Ogden/Rowan Brown
Cosway Australia	Tel:  + 61 2 9929 8344
Ben Wilson	Tel:  + 61 407 966 083
Fleur Jouault	Tel:  + 61 405 669 632

About Weir in Australia

Weir Minerals Australia employs around 1,300 people across 27 manufacturing, sales and service facilities across Australia. The business has revenues of approximately A$500 million, having grown by over 85% in the past five years including the acquisitions of Multiflo and Linatex.  

About The Weir Group PLC

Weir, a FTSE 100 company founded in 1871 and headquartered in Glasgow, Scotland, is a global provider of engineering solutions to the minerals, oil and gas and power sectors. Our commitment to engineering excellence, research and customer focus extends equipment wear life and operational capability in some of the world's most challenging environments.

Weir is committed to going where our customers go, with a worldwide network of more than 140 manufacturing facilities and service centres. The business has a presence in more than 70 countries, with over 14,000 staff around the world working in three divisions; Minerals, Oil & Gas and Power & Industrial. Weir's customer base includes the world's largest mining houses, major oil services businesses and nuclear and conventional power generation companies.

Annual revenues were more than £2.25 billion in 2011, of which more than half came from the provision of services and aftermarket support. Emerging markets contributed 35% of overall Group revenues.

Weir Minerals is the global leader in supply and service of slurry handling equipment to the minerals processing industry.  The division also produces a wide range of associated mill circuit and mine dewatering products, including cyclones, spools and wear resistant liners.  In 2011 the division, which has over 7,000 staff, reported revenues of £1,216 million.

[1] Although Weir has no current intention to make any further proposal in relation to Ludowici, it reserves the right to make a new proposal if circumstances change.  

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Source: The Weir Group PLC via Thomson Reuters ONE

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