Acquisition

RNS Number:6904P
CLS Holdings PLC
12 September 2003


Embargoed: 0700 hrs 12 September 2003


                                CLS HOLDINGS PLC

                       AND SELLAR PROPERTY GROUP ACQUIRE

                       NEW LONDON BRIDGE HOUSE FOR #39.5M


CLS Holdings plc ("CLS") and Sellar Property Group ("SPG") today announce that,
through a 50/50 joint venture company, they have acquired the freehold of the
12,169.9 sq m (131,000 sq ft) New London Bridge House adjacent to the proposed
London Bridge Tower development.

The joint venture has paid #39.5m for the fully let building, reflecting an
initial net yield of 8.5%, and has been acquired as a medium term investment
from the Royal London Mutual Insurance Society. The building is let to five
tenants including Standard Chartered Bank, Coutts & Co and Marubeni Europe Plc
on leases expiring in 2009. Bank of Scotland Corporate Banking has provided term
debt of #30m in support of this acquisition.

The building is located directly in front of London Bridge Station and,
following its acquisition by CLS and SPG, could provide a greater capacity for
regeneration of the London Bridge area beyond that currently envisaged by Renzo
Piano's "Shard of Glass" proposed redevelopment of Southwark Tower.


-ends-


For further information, please contact:

Sten Mortstedt, Executive Chairman
Tom Thomson, Vice Chairman & Acting Chief Executive
Kevin Chapman, UK Property Director
CLS Holdings plc
www.clsholdings.com
Tel. [phone]

Baron Phillips, Baron Phillips Associates
Tel: + 44 (0)20 7920 3150



                      This information is provided by RNS
            The company news service from the London Stock Exchange

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