Holding in Company

Derwent Valley Holdings PLC


                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

     DERWENT VALLEY HOLDINGS PLC


2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

     SCOTTISH EQUITABLE PLC


3)   Please state whether notification indicates that it is in respect of 
     holding of the Shareholder named in 2 above or in respect of a 
     non-beneficial interest or in the case of an individual holder if it is a
     holding of that person's spouse or children under the age of 18



4)   Name of the registered holder(s) and, if more than one holder, the 
     number of shares held by each of them.

     ROYAL BANK OF SCOTLAND TRUST
     BANK NOMINEES LIMITED

5)   Number of shares/amount of stock acquired.



6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed

     224,000


8)   (0.42 %) of issued Class

9)   Class of security

     5P ORDINARY SHARES


10)  Date of transaction

     NOT KNOWN


11)  Date company informed

     6TH JANUARY 2000


12)  Total holding following this notification

      1,921,116

               
              
13)  Total percentage holding of issued class following this notification

     3.62%


14)  Any additional information



15)  Name of contact and telephone number for queries

     T. J. KITE
     0171 486 4848

16)  Name and signature of authorised company official responsible for 
     making this notification


     Date of Notification ...7TH JANUARY 2000.....................