RNS Number:3062O
European Colour PLC
04 August 2003


For Immediate Release


4 August 2003



                              EUROPEAN COLOUR PLC


                 Holding in Company and Appointment of Chairman


European Colour, the specialist pigments manufacturer, has been notified that
Shelby Corporation has acquired the 13,851,616 European Colour ordinary shares
(representing 29.7% of the Company's issued share capital) previously held by
Jarvis Porter Group plc. Shelby Corporation is an investment management company
and European Colour has been informed that it intends to be a long-term,
supportive investor in European Colour.


The Board of European Colour is pleased to announce that Steve Smith has agreed
to join the Board as Executive Chairman with immediate effect. Steve Smith is
Chairman of Tianguis Limited (a private equity adviser and fund manager focused
on the chemical and allied processing industries), which advises Shelby
Corporation on its investments. Paul Deakin, who has served as Chairman of
European Colour since 2001, will stand down from this role, but will continue as
a Non-Executive Director of the Company.


Steve Smith has enjoyed a long and successful career in the international
chemical industry. From 1996 to 2002 he was Managing Director and Chief
Executive Officer of Finnish Chemicals Oy, implementing a strategic plan to
develop the company into an international business. Prior to 1996, he effected
the merger of the Australian Penrice Group with the Brunner Mond Group in the
UK, creating a world-leading integrated company in soda ash. Steve Smith was
Managing Director and Chief Executive Officer of both companies. He previously
held senior positions with Montedison in Italy and with Drew Chemical and Allied
Chemical (later Honeywell Inc.) in the US. He is a US citizen but resident in
the UK.


The Board believes that, building on the turn-round in the Company's activities
in the last two years, it will be possible to create a leading international
pigments business manufacturing value added products for the printing ink and
other colour using industries. Under Steve Smith's leadership, the Company will
pursue an energetic growth strategy and intends to pursue opportunities for
consolidation in the future.


 Paul Deakin, Chairman, commented: " I am delighted to welcome Steve Smith to
the Board of European Colour. I am confident that the Company and shareholders
will benefit from his extensive and successful experience in the international
chemical industry and from his leadership skills. After a period of uncertainty,
European Colour now has a supportive long term investor and the future looks
positive".


Steve Smith said: " European Colour is a fine company and I have been impressed
with its achievements in recent years. I look forward to working with European
Colour's people in the next stage of the Company's development, to create a
dynamic specialty chemicals business, to the benefit of the Company and
shareholders alike."


4 August 2003


 Enquiries:


Paul Deakin:           Tel.: 0161 480 3891
(for European Colour)


Suzanne Brocks:        Tel.: 07776 234600
(Buchanan Communications)



Steve Smith:           Tel.: 001 786 338 1601 until 7 August 2003

(for Tianguis Limited) 0207 603 7788 thereafter


Andrew Hay             Tel.: 0207 8455955

(LCF Rothschild Securities Limited, advisors to Tianguis Limited and Shelby
Corporation)


For the purposes of rule 16.13 of the Listing Rules, European Colour announces
that Mr. Smith does not hold any interest in the share capital of European
Colour plc. Steve Smith has confirmed that there are no details to be disclosed
in relation to him for the purposes of paragraphs 6.F.2 (b) to (g) of the
Listing Rules.








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

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