magna pacific profit upgrade, page-3

BECKER GROUP LIMITED 2003-03-14 ASX-SIGNAL-G

HOMEX - Sydney

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MAGNA PACIFIC LIFTS STRATEGIC STAKE IN FILM COMPANY BECKER GROUP LTD

Magna Pacific (Holdings) Limited has secured an additional 9.87
percent of listed independent film and television company Becker
Group Limited, to take its strategic stake to 19.36 percent.

Managing director Allan Radley said the stake was part of Magna
Pacific's ongoing growth strategy.

"Being offered 9.87 percent of Becker Group in a single line of stock
was a tremendous opportunity that we could not let pass," he said.

"Becker has some fantastic high growth assets such as their strong
Dendy cinema chain and the On Site Broadcasting unit, and we believe
that the current price represents a significant discount to fair
value for the company.

"The counter cyclical approach of investing at a time when the stock
market, the media sector and Becker are out of favour, will reap
excellent returns for our shareholders in the medium to longer term."

Mr Radley said the companies already had a close relationship through
Magna Pacific Pty Ltd, a DVD and VHS video distribution company and
through their joint venture Becker Magna Films.

"This will only strengthen our relationship with Becker and shows our
commitment to the development of both businesses," he said.

"We are investing in a business and industry which we know and
understand very well so we are quite comfortable to keep the risks
low and stick to what we know.'

Mr Radley said the purchase would be entirely funded from the
company's cash reserves.

"It's a very logical and natural step for us to take and we will
receive a much higher return on our investment, rather than holding
cash," he said.

"We still have in excess of $3 million in the bank and we are looking
at a number of acquisitions in the sector that will keep Magna
Pacific on its high growth path."

ABOUT MAGNA PACIFIC

Magna Pacific (Holdings) Limited is a Brisbane-based company that
acquires and distributes feature films, television series and
documentaries to cinemas, DVD and VHS video markets, television and
pay television.

It does this through its 50% owned subsidiary, Magna Pacific Pty Ltd
(the other 50% of which is owned by listed cinema company Becker
Group Limited); and through Becker Magna Films, a 50% owned
partnership also formed with Becker Group Limited.

Magna Pacific enjoys the benefits of a diversified customer based,
distributing DVD an VHS product to over 6000 stores including rental
and retail outlets such as ABC, Big W, Civic Video, K-Mart,
Myer/Grace Bros, Sanity, Target and Video Ezy.

Listed on the Australian Stock Exchange under MPH, Magna Pacific
(Holdings) Limited is also traded on the Frankfurt, Berlin, Munich
and Stuttgart stock exchanges under WKN 901889

www.magnapacific.com.au