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Artisan (UK) PLC (ART)

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Thursday 31 August, 2000

Artisan (UK) PLC

Artisan Circular

Artisan (UK) PLC
31 August 2000

Salient Points from the Artisan (UK) plc circular to plc
shareholders dated 31st August 2000.

      The current investment strategy of the EPA board has to be challenged   
      before further dissipation of the company's gross assets erode any      
      serious prospect of increased shareholder value.

      EPA's investment strategy consists of no more than 'lets stick with what
      we have got'. Assuming they are successful it will only result in value 
      to existing shareholders in three to five years time, assuming such     
      investments could be sold at a profit.

Artisan is convinced that a merger of EPA with a single profitable business,
rather than a strategy of taking a variety of largely minority stakes in
start-up companies, will enable shareholder value in EPA to be realised.

Artisan can introduce a number of viable merger candidates but has had no
mandate from the EPA board to do so.        

It is Artisan's intention to ensure that the EPA board as a whole worked
together to bring about the change in EPA's strategy which is essential to the
delivery of enhanced shareholder value.

The enterpriseAsia circular of 23rd August contains 'highly emotive and
inaccurate statements with the sole intention of deflecting EPA shareholders
from the real issues' - namely -

     Since the formation of EPA and £12 million of shareholders money was     
     taken the investment climate has changed radically.

     Artisan obtained a significant number of shares in EPA from outgoing     
     Chinese shareholders and investment funds - an indication of the unease  
     surrounding the prospects of start-ups in the Asian markets.

     Recent research by WestLB Panmure supports Artisan's view that the most  
     recent 'correction' in the internet sector is 'far from over'.

     The directors of EPA, however, have displayed an unhealthy appetite for  
     spending shareholders' money as quickly as possible since being asked to 
     re-think their strategy.

     Despite the substantial change in the global investment climate, EPA     
     directors admit they are 'closely following the strategy set out in the  
     prospectus' which is dependent on suitable companies being identified for
     Consolidation is widely expected within the sector. On 29th August, The  
     Financial Times reported the proposed auction next month of the assets of
     more than 30 Chinese companies. 

     Until the requisition of the EGM the EPA board continually frustrated    
     attempts by Artisan to enter into a sensible dialogue about the company's

Statements by EPA of 23rd August are misleading.

     The offer to Artisan of two seats on the Board of EPA was subject to     
     wholly improper conditions and was faxed to Artisan as its circular of   
     23rd August was being sent to the Press and shareholders.

     The possibility of exploring a merger with Weatherly International plc   
     was initially encouraged by the directors of EPA and emerged from early  
     discussions with the directors and advisers of EPA 

     Artisan (UK) plc is the largest single shareholder in EPA with a holding 
     representing 21.84% of the equity.  No director of EPA has any           
     significant direct personal shareholding in the company.

     Artisan has received two conflicting statements regarding the director's 
     interests in EPA. An unsolicited statement from EPA's lawyers, one of    
     whose partners is company secretary of EPA, but who is not a director,   
     alerted Artisan  'to the possibility of errors in the Register of        
     Directors Interests located at the Company's Registered Office'. Requests
     for clarification and confirmation of compliance with statutory          
     requirements remain outstanding.

Artisan's action is not an opportunistic attempt to obtain EPA's cash assets.

Artisan's proposals are motivated solely by the desire to enhance shareholder
value for the benefit of all shareholders.

Artisan's proposals are not, and have never been, designed to achieve control
of the EPA by the back door and no offer has been made by Artisan to the board
of EPA.


Artisan (UK) plc                                                01480 436 666 
Stephen Dean, Chairman                                    Mobile 07759 321146
Chris Musselle, Finance Director                          Mobile 07759 336891

Seymour Pierce Limited                                          020 7648 8700
Sarah Wharry

Boswell City Financial PR Limited                               020 7583 2001
Glenda Boswell                                           Mobile 07768 235 735
Rodney Johnson                                           Mobile 07787 530 592


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