Acquisition of Avocado

Johnson,Matthey PLC
11 February 2002



                               For release at 07.00 on Monday 11th February 2002

Johnson Matthey Acquires Avocado Research Chemicals

Johnson Matthey announces that it has acquired Avocado Research Chemicals
Limited ('Avocado') a leader in the manufacture and supply of organic compounds
for use in research laboratories.

Based in Heysham, Lancashire and employing around 70 people, Avocado has an
excellent reputation as a supplier of specialised organic chemical products via
its well-established catalogue. It also provides a custom synthesis service and
sales of semi-bulk quantities of chemicals to its customers who are
predominantly in the fine chemical and pharmaceutical industries as well as
serving contract and academic research.  It is already a significant supplier to
Johnson Matthey, which has been its distributor in the US for five years.

Avocado will be integrated into Johnson Matthey's Research Chemicals Business,
which has fast growing catalogue and Internet based sales operations established
in the United States and Germany.  The acquisition of Avocado offers important
synergies in terms of product range, customer base and geographic coverage.

The initial purchase price of £25 million is subject to adjustment, based on
subsequent performance of the Avocado business, up to a maximum of £34 million.
Unaudited results for the year to 31st December 2001 showed an operating profit
of £3.3 million.

Commenting on the acquisition Chris Clark, Chief Executive of Johnson Matthey,
said:

'This is a further example of our strategy of making niche acquisitions in our
core catalysts and chemicals businesses. We are delighted to have been able to
acquire Avocado. It is a business that we know well and it provides an excellent
fit with our existing Research Chemicals Business, an area that has achieved
good growth in recent years.'

Enquiries:


John Sheldrick , Group Finance Director                            020 7269 8438
Ian Godwin, Group Corporate Communications Manager                 020 7269 8410







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