Statement re Possible Offer

Derwent Valley Holdings PLC
19 November 2003

For immediate release

19 November 2003



                          Derwent Valley Holdings plc

                          Statement re. Possible Offer



The Board of Derwent Valley Holdings plc ("Derwent Valley") refers to the
announcement it made yesterday regarding a meeting with REIT Asset Management ("
REIT").



REIT submitted a proposal for the issued share capital of Derwent Valley. The
Board of Derwent Valley, having considered this proposal which is at a price
below yesterday's closing share price, has concluded that it fails to recognise
the potential and value inherent in Derwent Valley and has therefore rejected
the proposal.



The Board does not propose to pursue discussions with REIT on this proposal.



Enquiries:

Derwent Valley                      Tel: [phone]
John Burns, Managing Director


UBS Investment Bank                 Tel: [phone]
Tim Guest
Edmund Craston


College Hill                        Tel: [phone]
Alex Sandberg
Gareth David



UBS is acting for Derwent Valley in connection with the possible offer and
no-one else and will not be responsible to anyone other than Derwent Valley for
providing the protections afforded to clients of UBS or for providing advice in
relation to the possible offer.





Notes for Editors:



Derwent Valley is a highly focused UK listed property company (Reuters: DWV.L,
Bloomberg: DWV LN) specialising in refurbishing and investing in commercial
property in central London. The West End, where demand is showing signs of
recovery, represents approximately 75% of the investment portfolio. The company
has a reputation for the high quality of its schemes and has won a number of
architectural awards.



The Group currently has a number of refurbishment and development opportunities
within its portfolio, which together with its existing portfolio, puts Derwent
Valley in a strong position to take advantage of the anticipated recovery in the
central London commercial property market.



As at 30 June 2003, the company had a net asset value per share of 906p as
reported in the interim accounts.



www.derwentvalley.co.uk


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