Acquisition of Hydreka, Leak Detection Supplier

Halma PLC 13 March 2000 HALMA ACQUIRES FRENCH LEAK DETECTION SUPPLIER The Directors of Halma p.l.c. announce that on Friday 10 March 2000 the Group completed the purchase of the whole of the issued share capital of Hydreka SA ('Hydreka'). Hydreka, based in Lyon, sells software and equipment for measuring flow and leakage of clean water or dirty water. It is the leading supplier of continuous monitoring and data analysis systems to the French water industry. Hydreka will benefit from closer links to Palmer Environmental Limited, the Halma Group's world-leading water leak detection business. Audited accounts for the year ended 31 July 1999 show sales of FF 24,434,000. The consideration is FF 27,000,000 payable in cash on completion plus FF 4,000,000 payable following the third anniversary provided the two principal vendors continue to work within the Halma Group, and FF 2,000,000 payable on the fifth anniversary provided they have abided by a non-competition agreement. Stephen O'Shea, Halma Group Chief Executive commented, 'In the last 18 months our key activities have all been strengthened by acquiring closely-related businesses. Following on so closely to the acquisition of the Cutler-Hammer resistor business last week I am again pleased to be able to demonstrate the Group's acquisition success by the purchase of Hydreka. Our water related companies have enjoyed particular success and the addition of Hydreka will complement our existing operations, provide both them and Palmer with advantages and increase the application-specific software that we offer to water-related utilities across the world.' Copies of this announcement may be obtained from the company's registered office for a period of 14 days and at the Company Announcements Office of the London Stock Exchange for two days from the date of this announcement. Press Contact: Mr Stephen R O'Shea Chief Executive, Halma p.l.c. Tel: +44 (0) 1494 721111