Acquisition of Minority Stake

RNS Number:2537U
Keller Group PLC
15 January 2004



                                                                 15 January 2004



     KELLER ACQUIRES REMAINING MINORITY STAKE IN SWEDISH SPECIALIST GROUND
                              ENGINEERING BUSINESS


Keller Group plc ("Keller"), the international specialist ground engineering
group, today announces that it has acquired the remaining 50% minority stake in
Lime Column Markteknik AB ("LCM") in Sweden, for an initial cash consideration
of Euro3.6m (#2.5m) and a deferred consideration of up to Euro0.3m (#0.2m), contingent
on the achievement of profit targets in 2004 to 2006.

LCM sales and profit before tax for the 12 months ended 31 December 2003 are
forecast to be Euro11.7m (#8.3m) and Euro2.3m (#1.6m) respectively.

LCM, based in Gothenburg, Sweden was founded in 1976. It specialises in deep
stabilisation of soft soils using lime columns. The technology has particular
applications in the construction of highways and high-speed railways and in land
reclamation projects.

Keller acquired 50% of the shares of LCM in December 2000 from Peab AB, a
leading Swedish construction company, giving Keller access to a new technology
and entry into the Scandinavian ground engineering market.

LCM sales have increased by over 60% since 2001.

Commenting on the acquisition, Tom Dobson, Keller's Chief Executive, said:

"The successful transfer of the lime column technology into Keller markets
outside of Sweden has made headway since 2000 and will now be further
accelerated, demonstrating once again the success of our bolt-on acquisition
strategy."

For further information, please contact:

Keller Group plc                                              www.keller.co.uk
Tom Dobson, Chief Executive                                      020 8341 6424
Justin Atkinson, Chief Operating Officer
James Hind, Finance Director

Weber Shandwick / Square Mile                                    020 7067 0700
Mike Kirk/Helen Thomas




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