DISCOVERY HOLDINGS LIMITED - PRESS RELEASE

DISCOVERY HOLDINGS LIMITED - PRESS RELEASE                                      
Discovery Holdings Limited                                                      
(Incorporated in the Republic of South Africa)                                  
(Registration number 1999/007789/06)                                            
(Share code:  DSY    ISIN:  ZAE000022331)                                       
("Discovery" or "the company")                                                  
PRESS RELEASE                                                                   
Joint statement                                                                 
Issued by:                                                                      
Discovery Holdings, Johannesburg, South Africa and  Prudential Plc, London,     
United Kingdom                                                                  
30 April 2004                                                                   
Discovery and Prudential UK announce joint venture to enter the UK private      
medical insurance market                                                        
Johannesburg, South Africa: - Discovery and Prudential UK today announced that  
they are creating a joint venture that will see the two companies enter the     
private medical insurance market in the United Kingdom in the first quarter of  
2005.                                                                           
The company, a 50:50 joint venture, will be known as `Prudential Health".  It   
combines the unique and complementary strengths of Prudential"s strong brand,   
distribution capability and financial strength, with Discovery"s consumer-      
engaged healthcare expertise, and product and risk management leadership.       
"We launched `The Plan from the Pru" as a simple and straightforward way of     
helping people plan for the future and guard against the unexpected things in   
life. Introducing a private health insurance offering as part of this philosophy
fits very well and we see this new venture as an excellent opportunity to       
energise the UK healthcare market," said Mark Wood, Chief Executive, Prudential 
UK and Europe.                                                                  
"By joining forces with Discovery we gain immediate access to the necessary     
underwriting and risk management expertise, systems infrastructure and          
administrative capabilities required to develop and deliver what we believe will
be a unique and competitive product into the UK market."                        
Adrian Gore, CEO of Discovery, is equally positive about the prospects for the  
venture. "While the UK healthcare system offers a comprehensive National Health 
Service (NHS), more and more UK consumers are choosing to purchase insurance to 
access treatment in private hospitals. However, the annual contribution         
increases for private medical insurance have continuously outstripped the retail
price index, with very little consumer engagement in the benefits."             
Prudential Health will be a separate insurance company with a shareholding      
structure that sees Discovery Holdings and Prudential Plc each own 50%. It aims 
to achieve significant market share over the next decade.                       
About the UK private medical insurance market:                                  
Currently 6,7 million people (approximately 11% of the population) are covered  
through private medical insurance products in the UK                            
The market currently generate in excess of GBP2.2 billion in annual premium     
income                                                                          
Datamonitor research indicates that this number will rise to 8 million lives    
covered by 2006                                                                 
Over the past ten years, contributions to private medical insurance products    
have increased at a rate more than double the Retail Price Index.               
Ends                                                                            
About Prudential Plc                                                            
- Established in 1848, Prudential is a major financial services group with      
operations in the UK and Europe, the United States and Asia.                    
- As at 31 December 2003, it had GBP168 billion of funds under management.      
Worldwide, it has over 22,000 employees and over 16 million customers.          
- In 2003, Prudential reported total insurance and investment sales of GBP31.5  
billion (Euro 44.7 billion), an increase of 11% at constant exchange rates over 
the previous year.                                                              
- In the UK, Prudential is a leading life and pensions provider with 7 million  
customers.                                                                      
More about Discovery                                                            
- Discovery has over 1.6 million clients and has achieved a compound annual     
growth rate covered lives in excess of 50% per annum organic growth over the    
last ten years.                                                                 
- Discovery"s approach to consumer-engaged healthcare in South Africa has a     
consistent track record of producing the lowest premium increases in the market.
Its US subsidiary, Destiny Health, was ranked as one of the top three leaders in
consumer-driven healthcare in the US by independent researchers and has recently
partnered with Guardian Life Insurance Company of North America and Tufts Health
Plan.                                                                           
- Discovery"s Vitality programme has pioneered the integration of health and    
wellness related events, moving away from insurance that only pays for sickness 
and focusing instead on prevention and a healthier lifestyle.  Over 1 million   
members are on the Vitality programme in South Africa.                          
FOR FURTHER INFORMATION PLEASE CONTACT:                                         
Rosemary Renton                                                                 
Corporate Communication Consultants (Pty) Ltd                                   
TEL: 27 11 783 8926                                                             
FAX: 27 11 783 7608                                                             
Email: rosemaryr@corpcom.co.za                                                  
ON BEHALF OF:                                                                   
Adrian Gore, CEO Discovery                                                      
TEL: 27 11 529 2800                                                             
ON BEHALF OF PRUDENTIAL UK AND EUROPE                                           
James Murray / Anthony Frost                                                    
Tel:  44 207 150 3001                                                           
Date: 30/04/2004 10:25:07 AM Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department