London Town PLC
02 January 2008

2 January 2008



                        LONDON TOWN PLC ('London Town')

                   Further re Acquisition of GRS Inns Limited



Further to the announcement dated 28 December 2007 regarding the acquisition of
GRS Inns Limited. The acquisition is to be funded through the issue of 4,117,647
new ordinary shares in London Town at 85 pence per share ('Ordinary Shares'),
GBP485,000 in cash and GBP325,000 in cash to repay GRS Directors' loans.
2,852,943 of the Ordinary Shares are expected to be admitted to trading on AIM
on 3rd January 2008.  The remaining 1,264,704 Ordinary Shares are subject to
deferred consideration.


For further information, please contact

David Rydell/Christopher Hamilton/Laura Pope

Bell Pottinger Corporate & Financial                 0207 861 3232/07870 257 276




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