Re : Placing Participation

RNS Number:5319P
Arlington Group PLC
09 September 2003

                        Arlington Group plc ("Arlington")

            Participation in Placing and Open Offer of Enneurope plc


The Board of Arlington today announces that it has invested up to a maximum of
#3 million in the Placing and Open Offer of Enneurope plc and also entered into
a put option agreement with Ennstone PLC with respect to any Enneurope plc
ordinary shares subscribed for by Arlington under the Placing and Open Offer.
Full details of this transaction are outlined in the announcement made by
Ennstone plc this morning, which is set out below:


                                  "ENNSTONE plc
                                  ("Ennstone")

     Enneurope plc - Proposed Placing and Open Offer to fund further growth


Enneurope plc, ("Enneurope") an AIM listed aggregates company with operations in
Poland in which Ennstone has a 29.99 per cent. interest, has today announced a
placing and open offer of #3 million before expenses to fund its acquisition
strategy which is aimed at developing a 25% market share in North West Poland.
Enneurope recently acquired a concrete plant and related assets in Stargard to
supplement its existing operations.

Ennstone has today entered into an agreement with Arlington Group plc
("Arlington") and Enneurope which will provide for Arlington to invest up to #3
million in Enneurope by way of a firm placing and underwriting of an open offer
of new Enneurope shares at a price of 15 pence per share (the "Proposals"). The
Proposals are subject to Enneurope shareholder approval.

Under the terms of the Proposals 8,333,334 new Enneurope shares, representing
#1.25 million, have been placed firm with Arlington and a further 11,666,666 new
Enneurope shares, representing #1.75 million, are to be offered under the terms
of a fully underwritten open offer pursuant to which the shares have been placed
with Arlington subject to clawback to satisfy valid acceptances from qualifying
Enneurope shareholders. Ennstone has granted Arlington a put option in respect
of any new Enneurope shares issued to it under the Proposals. Arlington will be
entitled to exercise the put option between 9 June 2004 and 9 September 2004. In
addition to this, prior to 9 September 2004, Arlington cannot dispose of any new
Enneurope shares issued to it under the Proposals other than by accepting a
recommended bid for Enneurope or by exercising the put option upon a bid for
Ennstone becoming or being declared unconditional in all respects.

Depending on the level of acceptances under the open offer and assuming that no
further shares in Enneurope are issued prior to such time, upon the exercise of
the put option Ennstone could hold up to 80.03 per cent. of the ordinary issued
share capital of Enneurope. If, upon exercise of the put option, Ennstone then
holds in excess of 30 per cent., Ennstone may be required to make a mandatory
offer in cash for the Enneurope shares not then held by Ennstone.

The consideration due under the put option is to be satisfied by Ennstone
allotting to Arlington such number of new ordinary shares in the capital of
Ennstone ("Ennstone Shares") equal to the aggregate value of the new Enneurope
shares acquired by Arlington under the Proposals at an option price of 17 pence
(save that Ennstone shall never be obliged to issue Ennstone Shares at less than
their nominal value, in which case, Ennstone shall satisfy the consideration in
cash). For these purposes, an Ennstone Share shall be valued at the lower of
92.5 per cent. of the average closing bid price of an Ennstone Share in the
seven dealing days prior to (i) the date of signature of the put option
agreement, or (ii) the service of a put option notice on Ennstone by Arlington.

The Board of Ennstone believes that this fundraising should enable Enneurope to
make strong progress towards building a significant market presence in North
West Poland over the next few months. This will leave Enneurope well placed to
take advantage of Poland's entry into the EU in 2004, following the strong
referendum vote in favour of EU membership."


Further Enquiries:

Craig Niven, Arlington Group plc                           0207 389 5010


9 September 2003



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

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