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Wed 31 Mar 2004, 11:00 Cautionary announcement
Discovery Holdings Limited - Cautionary announcement                            
  Discovery Holdings Limited                                                      
  (Incorporated in the Republic of South Africa)                                  
  (Registration number 1999/007789/06)                                            
  (Share code:  DSY    ISIN:  ZAE000022331)                                       
  ("Discovery" or "the company")                                                  
  Cautionary announcement                                                         
  Shareholders are advised that Discovery is in the process of completing an      
  agreement to facilitate the expansion of its business, which if successfully    
  concluded, may have an effect on the price of the company"s shares.             
  Accordingly, shareholders are advised to exercise caution when dealing in their 
  shares until a further announcement is made.                                    
  Sandton                                                                         
  31 March 2004                                                                   
  Merchant bank and sponsor                                                       
  Rand Merchant Bank, a division of FirstRand Bank Limited                        
  Corporate Finance                                                               
  Date: 31/03/2004 09:55:24 AM Produced by the JSE SENS Department
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