Disposal

Ascot PLC
23 October 2000


Contact      Howard Dyer, Executive Chairman
             Martin Rogers, Finance Director
             Ascot Plc                                       020 7815 8576

             David Bick
             Holborn Public Relations                        020 7929 5599
                                                [e-mail]



                                   ASCOT PLC

            Sale of Four Engineering Businesses for £45.6 million

Ascot Plc ('Ascot') announces that it has agreed terms for the sale of its
four small engineering businesses - Floform, WDS, Peter Stubs and Mitchell
Cotts Transmissions (the 'Businesses').  Following a competitive tender
process, the Businesses are to be sold to two newly formed management buy-out
companies headed by Ascot's former Chief Executive, John Grant, and backed by
Royal Bank Development Capital, Bank of Scotland and others. The Businesses
are to be sold debt free for a total cash consideration of £45.6m comprising
£42.8m for the Businesses and £2.8m of cash which remains in the Businesses. 
In addition, three freehold properties worth in excess of £2.0m are to be
retained by Ascot.

The total consideration of £45.6m will be received in cash and will be used to
reduce the net debt of the Ascot Group.  This consideration figure may be
subject to adjustment depending on the level of aggregate net assets of the
four Businesses as at completion.  Completion of the sale is expected to take
place later today, following funding of the purchasing buy-out companies.

The aggregate net assets of the four Businesses as at 30 June 2000, excluding
cash and debt, were £12.4m.  Aggregate turnover and profit before interest and
tax for the year ended 31 December 1999 were £34.0m and £6.4m respectively.

The four engineering Businesses were acquired as part of Ascot's acquisition
of the Suter Group in 1996.  Details of the four Businesses are given below:-

* Floform is a specialist copper cold forming business, primarily supplying   
  precision components to the automotive and semiconductor industries.

* WDS is a distributor and manufacturer of small components used in the       
  machining and engineering industries.

* Peter Stubs is a leading specialist manufacturer of high speed steel edge   
  wire used in the manufacture of saw blades.

* Mitchell Cotts Transmissions is a remanufacturer of manual transmissions,   
  which are supplied to car and commercial vehicle manufacturers.

Executive Chairman, Howard Dyer commented:

'The sale of these four engineering businesses progresses our declared
strategy of focusing the Ascot Group on its core Speciality and Fine Chemicals
Divisions.  The consideration to be received is above our expectations and
marks a significant step forward for the Group.  With further divestments of
non-core assets planned, the Group remains well placed to continue the
development of its chemical business.'