Acquisition

9/3/2006

The BSS Group PLC ('BSS' or the 'Group'), the leading distributors of heating, plumbing and pipeline equipment to the industrial and domestic construction markets announces the acquisition of Price Tools Sales Ltd ('Price Tools'), and its holding company Central England Supplies Ltd (together 'CES Group').

Price Tools is a national distributor of hand held power tools to the construction, infrastructure and manufacturing sectors, operating from a single in Birmingham. It also has a small but growing business in personal protective equipment to the same customers.

BSS intends to offer the Price Tools range of products through its existing branch network and it will become an integral part of the Group's Domestic Division.

Roger Weir, Managing Director and Mark Winzor, Commercial Director who are the two principal shareholders of CES Group have signed service agreements with BSS and will continue to lead the business through the next phase of its expansion.

Gross assets of CES Group as at 31 December 2005 were £5.7m, with operating profits of £1.0m, for which BSS has paid £8.5m in cash on completion. The acquisition is expected to be earnings enhancing to BSS in the first full year after completion.

Commenting on the acquisition Gavin Slark, Chief Executive of BSS said:

'Price Tools is an excellent business with a skilled management team, and will provide BSS with an exciting opportunity to enhance our product range for our customers through the Group's extensive branch network.'

'The acquisition underlines our commitment to pursue further growth both organically and through acquisition of businesses with complementary product ranges and sales channels.

For further information, please contact:

The BSS Group PLC
Gavin Slark, Chief Executive
Roddy Murray, Finance Director
Tel: 0116 - 256 7006

Hogarth Partnership
Andrew Jaques
Rachel Hirst
Charlie Field
Tel: 020 - 7357 9477