Acquisition

Inchcape PLC
21 May 2007

21 May 2007

                                  INCHCAPE PLC

                       FURTHER EMERGING MARKET EXPANSION

                       Acquisition of 67% shareholding in
 Mazda, Ford, Mitsubishi and Hyundai business in Lithuania gives Inchcape close
                              to 20% market share

Inchcape plc ('Inchcape' or the 'Group'), the leading independent, international
automotive distributor and retailer, is pleased to announce that it has signed
an agreement to acquire a 67% stake in the automotive retail businesses of UAB
Vitvela (the 'Company'), from UAB Vitvela for a total cash consideration of up
to £13.0m (including goodwill and related assets). The agreement is in line with
the Group's strategy to expand into the Emerging Markets and, in particular,
into the Baltic States.

The Company is Inchcape's third party Mazda retailer in Lithuania. Its main
business is based in the capital, Vilnius, with additional dealerships in the
regional cities of Kaunas and Klaipeda. The Company also represents Ford,
Hyundai and Mitsubishi. Following completion of the transaction, Inchcape will
have an integrated distribution and retail business for Mazda, Ford and
Mitsubishi in Lithuania and also have a leading share of Hyundai retail in the
country. The total automotive market in Lithuania grew 37% in 2006 to over
18,000 units. The brands had a combined market share of 18.5% in 2006.

Andre Lacroix, Group Chief Executive of Inchcape, commented:

'In line with our strategy, this acquisition continues our expansion into the
Emerging Markets. The Lithuanian market is rapidly increasing in size and this
is an appropriate time for us to enter this new market to achieve scale
advantages with a respected partner. This acquisition gives us close to 20%
market share of the total car market in Lithuania'

Linas Peciukevicius, new Country Manager for Inchcape Lithuania, commented:

'We are excited by this excellent opportunity to build a partnership with a
strong international group. The joint venture will further strengthen our
position in the Lithuanian market and help us to grow across the country
alongside the world's leading automotive retailer.'

For further information, please contact:

Group Communications, Inchcape plc
[phone]

Investor Relations, Inchcape plc
[phone]

Financial Dynamics (Jonathon Brill/Billy Clegg)
[phone]


Notes to editors

Inchcape plc

Inchcape plc is the leading independent, international automotive retailer, with
scale operations in Australia, Belgium, Greece, Hong Kong, Singapore and the
UK.  The Group also has operations in a number of other markets, including
Eastern Europe, the Baltics, Russia and South America.  In addition to growing
its core businesses, Inchcape is looking to develop scale operations in new and
emerging regions.  It represents leading automotive brands and operates either a
retail, or a vertically integrated retail model (i.e. exclusive distribution and
retail), depending on the market.  Inchcape's current key manufacturer partners
are Toyota/Lexus, Subaru, BMW, Mazda, Mercedes-Benz, PAG, Volkswagen, Audi and
Honda.

For further information, visit us at www.inchcape.com






                      This information is provided by RNS
            The company news service from the London Stock Exchange