M. P. EVANS GROUP PLC

("MPE" OR "THE GROUP")

Purchase of shares from minority partner

The board is pleased to announce that the Group has signed a conditional sale and purchase agreement to acquire shares in its Indonesian operating subsidiaries previously held by one of its minority partners, PT Austindo Nusantara Jaya ("ANJ") (the "Transaction") for US$25.4 million in cash.

The acquisition by the Group of ANJ's minority shareholdings pursuant to the transaction equates to the acquisition of an interest in an additional 2,200 hectares of planted land held under existing long-term renewable land licences. Operationally, the land is of high quality and already controlled and managed by the Group. All the land is registered with the Roundtable on Sustainable Palm Oil.

The purchase consideration is based on an average price of US$9,500 per planted hectare and includes an adjustment for working capital. The average price is somewhat less than independent valuations of the land on a per-planted-hectare basis, reflecting both the minority nature of the shareholding and the current environment of unusually low CPO prices. The purchase consideration to acquire these shareholdings from ANJ will be fully funded by taking on additional debt. The Group manages its debt carefully and conservatively, and the board believes the Group's debt remains at a prudent level.

ANJ is currently a substantial shareholder in certain of the Group's operating subsidiaries and therefore the Transaction constitutes a related party transaction in accordance with AIM Rule 13. The Group's directors consider, having consulted with its nominated adviser, Peel Hunt LLP, that the terms of the Transaction are fair and reasonable insofar as its shareholders are concerned.

The contract is subject to the completion of regulatory formalities in Indonesia which are expected to be completed shortly. ANJ has separately reached an agreement to sell the remainder of its shares to an individual, Praba Madhavan PA Madhavan. Following completion of the transactions, ANJ will have no shareholdings in any of the Group's companies. Mr Madhavan is an Indonesian citizen with wide experience in the commodity sector. He will become the Group's 5% minority shareholder in all of its Indonesian operating subsidiaries other than PT Gunung Pelawan Lestari, the operation on Bangka Island.

The board is grateful to ANJ for their support as our Indonesian partner over many years and wishes them well in the future. At the same, time we welcome Mr Madhavan as our new partner and look forward to a long and fruitful relationship with him.

MPE Chairman, Peter Hadsley-Chaplin, commented as follows:-

''The acquisition of these minority holdings consolidates our holding in the high-quality estates that we have owned and managed for many years at a price that represents a low risk and attractive return to shareholders."

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