Proposed Acquisition

Severfield-Rowen PLC
22 March 2005

22 March 2005



                            Severfield-Rowen Plc

         Proposed acquisition of Atlas Ward Holdings Limited ('Atlas')

On 28 January 2005 Severfield-Rowen Plc (the 'Company'), the market leading
structural steel group, announced that it had entered into an agreement on 27
January 2005 with Bank of Scotland ('BoS'), a major shareholder of Atlas, under
which the Company was granted a right to acquire the entire issued share capital
of Atlas (the 'Shares') for £1.21m in cash.

On 22 March 2005 the Company exercised its right under the said agreement by
making an offer for the Shares which BoS has irrevocably accepted and in respect
of which BoS has undertaken to exercise its drag along rights in relation to all
other shareholdings and shareholders in Atlas.

Completion of the acquisition of the Shares is expected to take place within the
next four weeks.

Atlas, based at Sherburn near Scarborough in Yorkshire, designs, fabricates and
erects structural steelwork principally for the distribution warehouse market
and has a business, skill base and client profile which is complementary to that
of the Company.  Atlas is a major player in the UK market place and is a well
known brand name within the industry.  In the year ended 31 December 2004 Atlas
had an unaudited turnover of approximately £35m with an estimated pre-tax profit
for that year of £250,000 resulting in unaudited net assets of £1m.

Whilst Atlas currently has a pension scheme deficit estimated at £4.8m as at 31
December 2004, no further benefits are being earned by members in the scheme.

Commenting on Atlas, Peter Levine, Chairman, said:

'With a good name in the industry and with a complementary market place, client
base, skill base and location, as well as potentially significant synergies,
this is a very positive acquisition for Severfield-Rowen.

'Atlas, a well respected name in our industry, operates primarily in the
distribution warehouse market.  It complements, but is not in competition with,
the Group's sectors of interest and has an extensive client base and a very
experienced and skilled workforce.

'Atlas will benefit from our Group's commercial and financial strength and, as
we integrate it with the Group in due course, we expect to make focused capital
investment to upgrade technology and improve productivity and efficiency which
are the hallmarks of Severfield-Rowen.

'Initial client reaction has been extremely favourable to the acquisition and to
the anticipated investment in the Atlas business.

'The Group, on completion of the acquisition, will comprise four major brands
within our industry.  Severfield-Reeve Structures, Watson Structures, Rowen
Structures, and Atlas Ward Structures.'
Enquiries


Severfield-Rowen Plc
Peter Levine, Chairman                                     Tel:  [phone]


Financial Dynamics
Richard Mountain                                           Tel:  [phone]





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