Eurocastle Investment Limited
17 August 2004



                          STOCK EXCHANGE ANNOUNCEMENT


For immediate release

17th August 2004


                         EUROCASTLE INVESTMENT LIMITED


                       Re: Interest of Major Shareholder


The Company wishes to announce that on 2 August 2004 Morgan Stanley Securities
Limited acquired an interest in the shares of the Company which resulted in a
total holding of 575,755 shares, being 3.12% of the issued share capital.


Enquiries:


Management International (Guernsey) Limited

Rochelle Mei-Ling Yau

Phone (+44 1481) 707211