Acquisition

24 July 2006

Sage acquisition of majority shareholding in French distribution industry 
software vendor, Elit Group

The Sage Group plc ("Sage") has acquired approximately 51% of the share capital
of Elit Group ("Elit"), listed on Euronext. Elit is a leading vendor of
business management software for the transport and food distribution sectors in
France. Sage purchased the shares for a price of 7 Euros per share. The
purchase consideration for these shares is approximately £10.8m, to be paid in
cash.

As a result of this transaction, and as required by French regulations, Sage
will make an offer to the remaining Elit shareholders to acquire all
outstanding shares.

With 3,000 customers, Elit is a leading vendor of business management software
for medium-sized businesses in the French transport and food distribution
sectors. Elit's revenues for the year ended 30 June 2005 were £18.4 million*,
with an operating loss of approximately £0.5 million*.

Paul Walker, Sage Chief Executive, comments, "The acquisition of a controlling
interest in Elit represents a further extension of our range of
industry-specific business management software. Elit's advanced mid-market
solutions for the French transport and food distribution sector complement our
existing C2G business, acquired in 2005."

*Financial information as reported pro-forma in Elit company reports;
translated on the basis of £1 = 1.46 Euro.

Enquiries

The Sage Group plc [phone]

Paul Walker, Chief Executive

Paul Harrison, Finance Director

Phil Branston, Investor Relations

Tulchan [phone]

Julie Foster