Holding in Company

Quarto Group Inc
4 June 2001


                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

THE QUARTO GROUP INC.

2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

TEAWOOD NOMINEES LIMITED

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

IN RESPECT OF 2 ABOVE

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

CHELVERTON FUND LTD

5)   Number of shares/amount of stock acquired.

100,000

6)   ( 0.54 %) of issued Class

7)   Number of shares/amount of stock disposed

N/A

8)   ( N/A %) of issued Class

9)   Class of security

SHARES OF COMMON STOCK OF US$0.10 EACH

10)  Date of transaction

15 MAY 2001

11)  Date company informed

4 JUNE 2001

12)  Total holding following this notification

587,500
               
              
13)  Total percentage holding of issued class following this notification

3.15%

14)  Any additional information



15)  Name of contact and telephone number for queries

MR T.A. CURTHOYS   
TEL: [phone]

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

     Date of Notification ......4 JUNE 2001