Issue of Equity

Guinness Peat Group PLC
12 April 2006

                            Guinness Peat Group plc

                              COMPANY ANNOUNCEMENT

                         ALLOTMENT OF 51,000,000 SHARES


This announcement is not for release, distribution or publication, whether
directly or indirectly and whether in whole or in part, into or in the United
States, Canada and Japan, and it does not constitute an offer of securities for
sale into any of those jurisdictions.


Placement of ordinary shares


Further to the announcements made on 6 April 2006, Guinness Peat Group plc
("GPG") announces that it has today allotted 51,000,000 ordinary shares of 5p
each ("Shares") at an issue price of NZ$2.60 per share pursuant to the
placement.


Of this number, 18,535,000 Shares will initially be registered on the Australian
register in the form of CDIs.


GPG has applied for admission of the Shares to the Official List of the UK
Listing Authority and for admission to trading on the London Stock Exchange's ("
LSE") main market for listed securities.  Application has also been made for
quotation of the shares on the Australian Stock Exchange ("ASX") in CDI form.
The Shares will be freely tradable on the New Zealand Stock Exchange ("NZSX") on
advice being given to New Zealand Exchange Limited that the shares have been
issued.  It is expected that listing of the Shares by the UKLA and admission to
trading on the LSE will take place on 13 April 2006.  Trading on the ASX and
NZSX is expected to commence on 18 April 2006.



Goldman Sachs JBWere (NZ) Limited is the lead manager and sole book runner for
the Placement.





JR Russell

Company Secretary 12 April 2006



For queries please contact:



New Zealand: Tony Gibbs (Director) Tel:  [phone]

Australia: Gary Weiss (Director) Tel: [phone]

London: Blake Nixon: (Director) Tel: [phone]



The Shares have not been and will not be registered under the US Securities Act
of 1933, as amended (the "US Securities Act") and may not be offered or sold in
the United States absent registration or exemption from registration under the
US Securities Act.  There will be no public offering of the Shares (or any other
securities) in the United States.






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