RNS Number:6099U
Heiton Group PLC
26 January 2004

Strictly Embargoed until Monday January 26th at 7.00 am


   Heiton Group Plc Acquires Waterford based heating and plumbing specialists

Heiton Group plc, the leading builders merchant and DIY provider today (January
26th 2004) announced the acquisition of Paddy Power and Company.  Based in
Waterford, the company specialises in plumbing and heating products.  The
acquisition forms part of the Group's strategy of category and geographic
expansion of its Trade Division and firmly consolidates the Group's position in
the South East of the country.

In the year ended 31 December 2003 Paddy Power generated turnover of Euro8 million
and its estimated net assets were Euro1.0 million at that date.  The acquisition
will be funded from Heiton's internal resources and is expected to be
immediately earnings enhancing.

The company was founded in 1986 and is the largest plumbing, heating and
drainage merchant in the South East.  Located at Kilbarry, 11/2 miles from
Waterford City, it supplies residential and commercial heating and plumbing
materials from purpose built facilities.  It has a recently developed showroom
offering a wide choice of bathrooms, showers and heating equipment.  Employing
21 people, the company is managed by Paddy Power.  Paddy Power will continue to
run the business over the medium term and that there will be no redundancies.

Leo Martin, Chief Executive of Heiton Group said, "We are pleased to announce
the acquisition of this successful business which firmly advances the position
of Heiton Trade in the South East of the country.    We will continue to seek
out suitable acquisitions which will enable us to add to our portfolio of
businesses which supply a full complement of products to the construction
industry."

Eddie Kelly, Managing Director of Heiton Trade added, "We look forward to
integrating Paddy Power and Company into our existing portfolio of businesses
and to maximising synergies that exist.  We will continue to take every
opportunity to offer a wider product range to our expanding customer base."

Heiton Trade comprises Heiton Buckley, Cork Builders Providers, Heiton Steel,
Sam Hire, Wright Window Systems and Morgans Timber.  Heiton Trade operates from
38 outlets nationwide.  It is the largest division in the Heiton Group and is
the leading builders merchanting business in the Irish market.

                                     -ends-


26th January 2004

For reference:

Leo Martin                                             Eddie Kelly
Group Chief Executive                                  Managing Director
Heiton Group plc                                       Heiton Trade
Tel : 01 403 4000                                      Tel : 01 403 4000
Mobile : 087 2563296                                   Mobile : 087 2572621

Issued on behalf of Heiton Group by Drury Communications

Contact:
Orla Benson/Billy Murphy
Drury Communications
Tel: 01 260 5000


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