Placing

Mercury Group PLC
04 July 2005


                               MERCURY GROUP PLC
                           ('Mercury' or 'the Group')

                                   Announces

                                 Investment by
                             Tchenguiz Family Trust
                                      in a
                   Placing of 6.7 million new Ordinary Shares
                       to raise £2.0 million ('Placing')

Mercury Group PLC, the provider of professional services to the property
industry, is pleased to announce that it has raised £2.0 million through the
issue of 666,666,666 new Ordinary Shares at 0.3 pence per share (the 'Placing
Shares') to Pendana Limited ('Pendana'). Pendana is ultimately owned by the
Investec Trust (Guernsey) Limited as trustees of the Tchenguiz Family Trust.
Pendana's resultant shareholding after full allotment of the Placing Shares is
expected to account for 25.9 per cent. of Mercury's enlarged issued share
capital. The funds raised as a result of the Placing will be used to provide the
Group with additional working capital and for acquisitions, should such
opportunities present themselves.

The Directors expect that the ensuing association with Consensus Business Group,
which manages numerous investments on the behalf of Investec Trust (Guernsey)
Limited, will be highly beneficial to the Group. In particular, the association
will provide a variety of cross-selling opportunities and synergies. Consensus
Business Group is managed by Vincent Tchenguiz, as agent for the Tchenguiz
Family Trust. It is responsible for a number of residential and commercial
property interests, including approximately 200,000 ground rents situated
throughout the United Kingdom, a 50 per cent. interest in the estate agent
Chestertons Global Limited and a commercial property portfolio with gross assets
of approximately £4 billion, as well as having strong relationships with a
number of the United Kingdom's leading house builders.

The Company, pursuant to authorities granted at the Annual General Meeting on 14
June 2005, currently has authority to allot 550,000,000 new Ordinary Shares for
cash other than on a pre-emptive basis. Accordingly, such number of new Ordinary
Shares have been allotted to Pendana. The remaining 116,666,666 Placing Shares
will be allotted, conditional on the passing of the necessary resolutions at an
Extraordinary General Meeting ('EGM') of the Company. Such EGM will be convened
by way of a circular to be issued in due course.

The Placing Shares will rank pari passu with all the existing issued Ordinary
Shares. Application will be made for the Placing Shares to be admitted to
trading on AIM. Admission is expected to become effective in respect of
550,000,000 Placing Shares on 8 July 2005. Admission of the balance will become
effective shortly after the EGM, conditional on the relevant resolutions being
passed at such EGM.

Pendana's shareholding following allotment of the initial 550,000,000 Placing
Shares will amount to 22.3 per cent. of  Mercury's issued share capital
following allotment of such shares.  Assuming full allotment of all of the
Placing Shares, Pendana's shareholding will amount to 25.9 per cent. of
Mercury's enlarged issued share capital.

David Williams, Chairman, commenting on the Placing, said,

'I am delighted to announce this investment and our involvement with Consensus
Business Group.

What is particularly exciting is the scope for Mercury to develop a close
working relationship with Consensus Business Group, which is managed by Vincent
Tchenguiz, as agent for the Tchenguiz Family Trust.

Mercury Group offers a wide range of property-related services including
facilities management and project management and I am confident that we will be
able to be of service to Consensus Business Group across its wide range of
residential and commercial property activities.'

Enquiries

Mercury Group PLC      David Williams, Chairman          T: 020 7422 6566

Biddicks               Katie Tzouliadis                  T: 020 7448 1000




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