Consolidated net income at 3.1 million euros - Recommendation: No dividends

Deutsche Beteiligungs AG completed the 2002/2003 financial year (October 31) posting consolidated net income of 3.1 million euros. The company thus exceeded the "balanced result" that had been announced following the nine-months figures.

However, the consolidated net income of 3.1 million euros (previous year: consolidated net loss of 15.8 million euros) does not suffice to offset the loss carried forward from the prior year. Consequently, at the Annual Meeting of Shareholders, the Board of Management and Supervisory Board will recommend not disbursing dividends this year. Instead, the company's financial base is to be strengthened.

The intrinsic value (fair value) of the shares of Deutsche Beteiligungs AG, measured by the book value of the equity per share and the valuation reserves per share determined on the basis of IFRS rules, which initially declined from 12.95 euros (October 31, 2002) to 11.39 euros (April 30, 2003), rebounded to 12.48 euros at October 31, 2003.

The Board of Management is confident that Deutsche Beteiligungs AG will continue its positive development in the 2003/2004 financial year. The first quarter saw the completion of two new management buyouts; a further investment is planned to be contracted in the coming weeks.

Frankfurt am Main, January 29, 2004.

The Board of Management

Announcement in conformity with Art. 15 WpHG (German Securities Trading Act)
Deutsche Beteiligungs AG