Re Contract

CLS Holdings PLC
17 January 2002

Release date:              17th January 2002

Embargoed until:     07:30



                           CLS HOLDINGS PLC ('CLS')

                            ANNOUNCES PRE-LETTING

                           AT SOLNA BUSINESS PARK

                              STOCKHOLM, SWEDEN



The board of CLS is pleased to announce the completion of a further letting at
Frasaren 11, Solna Business Park.



A total of 3,175 sq m (34,175 sq ft) of office accommodation has been pre-let
to IFS Svenska AB at a commencing annual rent of SEK 7,076,500 (£471,767)
rising in stages over 4 years to an annual rent of SEK 8,029,000 (£535,267).
The rent payable in the first year will be discounted by SEK 1,200,000 (£
80,000) to compensate the tenant for the disturbance caused by the continuing
building works. IFS Svenska AB is listed on the Stockholm Stock Exchange.



The premises form part of the second, third and fourth floors of Frasaren 11,
which are currently being refurbished.  The initial rent levels are SEK 2,300
per sq m (£14.25 per sq ft) for the fourth floor, SEK 2,200 per sq m (£13.63
per sq ft) for the third floor and SEK 2,100 per sq m (£13.01 per sq ft) for
the second floor.



The lease is for a fixed period of six years and two months from 1st August
2002, with an option for a three-year extension at its expiration in September
2008. The rent is subject to annual indexation from January 2003, based on a
figure of SEK 8,029,000 (£535,267) to reflect any increase in the Swedish
equivalent of the Retail Price Index.



Executive Chairman, Sten Mortstedt, said:



'This is the third pre-let at Frasaren 11, which brings pre-lettings at this
building up to just over  10,000 sq m (107,640 sq ft) representing 28% of its
net lettable area. The letting provides further evidence of the continuing
demand for space at Solna Business Park.'



                                    -ends-



For further information, please contact:


Sten Mortstedt, Executive Chairman

Tom Thomson, Vice Chairman & Acting Chief Executive

CLS Holdings plc

www.clsholdings.com                                  Tel.  [phone]


Adam Reynolds / Takki Sulaiman

Hansard Communications

www.hansardcommunications.com                        Tel.  [phone]