Proposed Acqn/Placing

Mondas PLC
8 September 2000


                                 
               Mondas PLC ('Mondas or the Company')
                                 
         Proposed Acquisition of DSR Holdings Ltd ('DSR')
                     Placing and Open Offer of
    6,305,925 new Ordinary Shares of 10p each at 50p per share
                                and
     Placing of £3,000,000 nominal of 8 per cent. convertible
               unsecured redeemable loan stock 2005
                  at 100p per £ nominal of stock

Mondas   PLC,  the  e-business  software  house  specialising   in
securities  and  banking  markets  and  internet  software   today
announces  the proposed acquisition of DSR, a designer manufacture
and supplier of accounting and management information products.

*  Total  consideration of £3.79 million.    Payable  by  £3.31
   million in cash and the issue of  964,708 new Ordinary Shares
*  Placing and open offer by Teather & Greenwood of 6.3 million
   new Ordinary Shares at 50p per share and placing of £3.0 million
   nominal of 8% convertible unsecured redeemable loan stock 2005 at
   100p per £ nominal of stock
*  The  acquisition of DSR will allow Mondas to deliver a  more
   effective solution to its internet and workflow technologies and
   derive additional income
*  The DSR Resource 32000 accounting system is complimentary to
   Mondas' workflow internet technologies and will provide  a  more
   complete solution for its clients needs
*  Resource 32000 will form the hub of Mondas' accounting system
   focused on the banking and securities settlement markets

Tim Simon, Chairman, said:
'The acquisition of DSR  will broaden our product range, add
intrinsic value to Mondas' offering to its clients and double the
size of the company.  Neither  company has marketed its products
on a wide scale and we now have the opportunity to exploit their
potential both on a standalone basis and as an improved and higher
value integrated solution.'

                                                  8 September 2000
ENQUIRIES:

Mondas Plc
Tim Simon, Chairman                             Tel: [phone]

John East & Partners
John East                                       Tel: [phone]
David Worlidge
Simon Clements

College Hill
Matthew Smallwood                               Tel: [phone]
Chelsea Allen
                                 
                            Mondas PLC
Introduction
The   Board  of  Mondas  plc  announces  that  the  Company,   has
conditionally agreed to acquire the entire issued share capital of
DSR, a company whose principal activity is the design, manufacture
and  supply  of  accounting  and management  information  software
products,  mainly  for  small to medium sized  enterprise,  for  a
consideration  of  £3.79  million, to be  satisfied  as  to  £3.31
million  in  cash and the balance by the allotment  and  issue  of
964,708 new Ordinary Shares.

The  Company also proposes to raise £5.6 million(net of  expenses)
by  way  of the Placing of 6,305,925 new Ordinary Shares,  all  of
which are subject to recall to satisfy valid applications pursuant
to  the  Open Offer at 50p per new Ordinary Share  and the placing
of £3,000,000 convertible unsecured loan stock 2005 at 100p per  £
nominal ('CULS').

Under  the  AIM  Rules, the Acquisition is subject to  shareholder
approval in view of its size and the Resolutions necessary for the
implementation of the Proposals will be proposed at an EGM.  It is
anticipated  that  dealings on AIM in the  Enlarged  Issued  Share
Capital and the CULS will commence on 9th October, 2000.

Information  on Mondas
When  Mondas  was  formed, it initially provided  consultancy  and
software  project work, but its main strategy was the  development
and   marketing  of  business  process  management  and   workflow
software, branded as Radica.

In  October 1996, the Company raised approximately £1.5 million by
means  of  a  placing  of  Ordinary Shares to  provide  additional
working capital and for the marketing of Radica.  Its entire share
capital was simultaneously admitted to trading on AIM.

Radica  software licenses have been sold to a number of customers,
the  most  significant being the Radisson Edwardian  Hotel  Group,
Sulzer  Infra  CBX  Limited, ICD Marketing Services  Limited  (now
Experian  Limited), Business Links, London City Partners  plc  and
Blackwell Publishers.

In  November  1998,  the  Company acquired Reality  Communications
Scandinavia AS ('Reality'), which designed, marketed and supported
Internet,  intranet and extranet software solutions based  on  the
IntraLink ST product, mainly for use by large corporations.

IntraLink   ST  licenses  have  been  sold  to  McCann   Erickson,
Christiania  Markets,  the broking subsidiary  of  Kreditkassen/K-
Bank,  several  Norwegian Local Authorities  (Kommunes),  Rothmans
International  Services  Limited, BskyB,  Fred  Oslen  Production,
London  Chamber of Commerce and Industry, the compressor  division
of  Ingersoll-Rand, European Sales Limited; Added Value Group  and
CIA  Medianetwork  UK Limited, both subsidiaries of  Tempus  Group
PLC.

An Internet consultancy contract was carried out for BBC Worldwide
Limited.
                                 
                                 
                            Mondas PLC
The  London  operations of Reality Communications  Scandinavia  AS
acquired in November 1998, were consolidated into MITL.

The  Company  has  a  major on-going consultancy  and  development
contract  with  Brewin Dolphin Securities for project  management,
legacy migration, application development and integration.  A  new
front office system has been deployed providing stockbrokers  with
information  which can be viewed by individual client,  portfolio,
holding  stock  or  market segment.  Mondas has also  developed  a
system  to  automate  corporate  events  and  actions,  and  other
projects are in progress.

Information on DSR
History
The  DSR  Group  was  established in 1983  by  Duncan  Ritchie,  a
chartered accountant, who is the direct holder of 30 per  cent  of
the  share  capital  of  DSR.   Mr  Ritchie  will  retire  on  the
completion  of the Acquisition.  Mr Ritchie has been  involved  in
the  management of the Company for between one and two days a week
for some time and has been suffering from ill heath. The DSR Group
designs,  manufactures and supplies the 'Resource' accounting  and
management information modular range of products to corporate  and
public  sector  clients with typically between 4 and  24  licensed
users.

The  DSR Group currently has over 300 customer sites generating  a
recurring annual income.

The  first  version of Resource I software was  installed  in  the
early 1980s which has evolved to Resource 32000 today.

The first customer site of Resource 32000 was installed at the end
of  1997.  Since its launch the software has been well received in
its target market.

Historically,  the DSR Group has carried out little marketing  and
in particular it has not recently distributed its products through
resellers.  The Directors believe that a more pro-active marketing
strategy should generate the opportunity for sales growth.

Products
Resource  32000  is  a  32  bit client  server  Microsoft  Windows
compatible  suite  of  software  covering  the  major   areas   of
accounting and management reporting including stock inventory, job
costing,  payroll  and  time ledgers.  Resource  32000,  with  the
exception  of  the report writer products referred to  below,  has
been  written  by the DSR Group's own staff.  No outside  contract
staff  or  third parties are used in the development  of  the  DSR
Group's  range  of Resource products.  However,  DSR  does  supply
report writer products which are inter-operable under license from
IQ  Software  Corporation Limited.  The  DSR  Group  supplied  the
services   which  are  required  to  install  an  accounting   and
management information system including:
*    Installation services
*    Project management
*    Hot line, modem and special support services
*    Report writing facilities
*    Software modifications
*    Training and software consultancy
                            Mondas PLC

Customers
DSR  currently  has  over  300 customers using  Resource  software
products with software support contracts, including:

*    Avon Health Authority
*    Bae Systems (Aviation Services) Limited
*    Cadbury International Limited (Ghana)
*    Good Morning Television Limited (GMTV)
*    Guildford College of Further and Higher Education
*    Leeds College of Music
*    London Arts Board
*    Royal College of Music
*    University College London Union (Students Union)

Financial Information on DSR
The trading results for the three years ended 31st March, 2000 are
summarised below:


                                Year ended 31
                                    March
                                               
                                1998   1999   2000
                               £'000  £'000  £'000
                                            
                                           
Turnover                       1,315  1,456  1,842
                                            
Gross Profit                   1,240  1,336  1,639
                                            
Profit on ordinary activities    253    312    540
before taxation


Competition
The  directors  of  the  DSR  Group consider  that  the  principal
products  which compete with Resource 32000 in its  target  market
including  Sage Tetra (Sage Group PLC), Sun Accounts (Sun  Systems
Limited) and Exchequer (Exchequer Software Limited).

However,  despite this competitive market place and  with  limited
sales  and marketing activities, the DSR Group's audited  turnover
and  pre-tax  profitability, have increased year on year  for  the
last three years.

                           
                            Mondas PLC
                                 
Reasons for the Acquisition of DSR
The  Directors  believe the key components of  e-Business  include
Internet software, workflow technologies and accounting systems.

Mondas  currently has in-house developed products  providing  both
Internet  and workflow technologies, but satisfies its requirement
for  accounting  systems  through an  alliance  with  an  external
supplier.   This arrangement usually allows Mondas to  deliver  an
effective solution but entails sharing part of the income derived.
With  an appropriate product in-house, the Directors believe  that
Mondas  will  be  better able to control and  amend  its  existing
functions and derive additional income.

Following  completion  of the Acquisition of  DSR,  the  Directors
believe  that  the  Company will have a  combination  of  in-house
designed  and  developed  software  products  and  the  skills  to
implement  e-Business solutions - particularly in  the  securities
and  banking sector.  The Directors believe that the DSR Group has
products  which will inter-operate with Mondas's existing  product
range.

The  Resource 32000 accounting system is complementary to Mondas's
workflow  and  Internet technologies which the  Directors  believe
will  enable a 'straight through processing' solution.  This means
that a transaction initiated via a website, call centre or dealing
room could then be managed, from initial capture, through its life
cycle  to  ensure  compliance (both with internal  procedures  and
regulatory   authorities)  through  fulfilment   and   settlement.
Throughout  the process the relevant accounting entries  would  be
made  and at all times information on all such transactions  would
be available for enquiry via a web browser.

The  Directors intend that Mondas will use Resource 32000  as  the
key  accounting  component  in  its combined  e-Business  software
offering.   It  will  also  form  the  hub  of  Mondas's  intended
development of a banking and securities settlement and  investment
accounting   system.   The  combination  of  these   technologies,
products  and skills will open a larger market than that available
to  them individually.  Such systems are designed to generate high
added value sales.

Details of the Acquisition
The  Company,  is proposing to acquire DSR for a consideration  of
£3.79 million payable as to £3.31 million in cash with the balance
to be satisfied by the issue of 964,708 new Ordinary Shares, which
will  rank pari passu, in all respects, with the Existing Ordinary
Shares.  Under the terms of the existing employment contracts with
DSR,  certain  employees  of the DSR Group  will  be  entitled  to
receive a special bonus on completion of the Acquisition amounting
in  aggregate to £739,895 which is to be satisfied as to  £675,357
in cash and as to the balance by the issue of 129,076 new Ordinary
Shares.   The  acquisition  is conditional,  inter  alia,  on  the
approval  of shareholders.


                            Mondas PLC
                                 
Details  of the Placing of CULS and of the Placing and Open  Offer
of new Ordinary  Shares
The  Company  is  proposing to raise approximately  £3.15  million
(before expenses) by the issue of the Offer Shares pursuant to the
Placing  and  Open  Offer.  Accordingly,  6,305,925  new  Ordinary
Shares  have  been  conditionally placed by  Teather  &  Greenwood
subject  to Qualifying Shareholders having the right to apply  for
such  shares under the Open Offer at a price of 50p per share free
of expenses, pro rata to their existing shareholdings on the basis
of:

*    1 Offer Share for every 2 Existing Ordinary Shares

held at the close of business on 1st September, 2000 and so on  in
proportion for any greater number of Existing Ordinary Shares then
held.

An Application Form, containing details of Qualifying Shareholders
entitlements  to  the  Offer Shares will  be  sent  to  Qualifying
Shareholders  today.   The terms of the Open  Offer  provide  that
Qualifying Shareholders who make valid applications for up to  and
including  their maximum pro rata entitlement will be entitled  to
receive  all  such Offer Shares.  An application to subscribe  for
Offer Shares may only be made on the Application Form.

Each   Application  Form  will  be  personal  to  the   Qualifying
Shareholder(s)   named  thereon  and  may  not  be   assigned   or
transferred other than to satisfy bona fide market claims pursuant
to the Rules of the London Stock Exchange.

Qualifying Shareholders should be aware that the Open Offer is not
a  rights  issue and that Teather & Greenwood will not attempt  to
procure subscribers in the market for Offer Shares not applied for
on  behalf  of those Qualifying Shareholders who do not apply  for
their entitlements.  To be treated as valid, completed Application
Forms  and payment in full must be received by Capita IRG  Plc  by
3.00p.m. on 2nd October, 2000.

The Open Offer is conditional, inter alia, upon (i) the passing of
the  resolutions  to  be  proposed at  the  Extraordinary  General
Meeting; (ii) the Placing Agreement becoming unconditional in  all
respects  and not being terminated in accordance with  its  terms;
and (iii) Admission becoming effective not later than 9th October,
2000  or such later time or date not later than 23rd October, 2000
as  the  Company,  John  East & Partners  Limited  and  Teather  &
Greenwood may agree.

The   Directors,  who  in  aggregate  beneficially  own  4,652,786
Existing  Ordinary  Shares, representing  37.8  per  cent  of  the
present  issued  ordinary share capital,  have  maximum  aggregate
entitlements  under the Open Offer to 2,326,393 Offer  Shares  and
have  irrevocably  undertaken not to take up  their  entitlements,
which   have  been  placed  firm  with  institutional  and   other
investors.




                            Mondas PLC
                                 
The  Company  is also proposing to raise approximately  £3,000,000
(before  expenses) by the issue of the CULS pursuant to  the  Firm
Placing.   Accordingly, £3,000,000 of CULS have been conditionally
placed  by  Teather & Greenwood at a price of 100p per £1  nominal
CULS.   The CULS, which bear interest at an annual rate of  8  per
cent,  payable in equal proportions on 30th June and 31st December
in  each  year, are redeemable, if not converted, on 31st October,
2005  and are convertible into fully paid Ordinary Shares  on  the
basis of 2 Ordinary Shares for every £1 nominal CULS.  If the 
average of the closing bid price of an Ordinary Share as shown  in
the  Daily Official List of the London Stock Exchange for a period
of  at  least 30 consecutive days is 200p or more, the Company  is
entitled to require a holder of CULS to convert all or part of his
holding  of CULS into fully paid Ordinary Shares on the basis  set
out above.

The  net proceeds of the placing of the Offer Shares and the  CULS
will  allow  the  Company  to satisfy  the  cash  element  of  the
consideration  for the Acquisition and provide additional  working
capital resources for the Enlarged Group.

Current Trading and Future Prospects
Mondas
The  Directors have been encouraged by trading since the Company's
financial  year  end.   The Company's most significant  individual
client   in  the  securities  sector,  Brewin  Dolphin  Securities
Limited,   continued  to  implement   the  Company's   application
solutions,  to  migrate  legacy systems and  increase  efficiency.
These solutions provide stockbrokers with information which can be
viewed  by individual client, portfolio, stock or market  segment,
giving   comprehensive  client  holding  information,  to  improve
private  client services. The Company also developed a  system  to
automate  corporate events and actions, triggering faster response
times  and  managing compliance issues.  The Directors  anticipate
that  this  product will be deployed by Brewin Dolphin  Securities
Limited in the near future.

A number of new software licence contracts have been won in the UK
and  Norway  with  customers such as Ingersol  Rand,  Added  Value
Group, CIA Media Network UK and Larvik Kommune, a Norwegian  local
authority.

The Company has also recently entered into two alliance agreements
with  Netstore  PLC, which is one of Europe's largest  application
service  providers and Exchange Data International Limited,  which
specialises  in  electronic  data feeds  for  the  securities  and
banking markets.



                            Mondas PLC


DSR
Since the beginning of the financial year the DSR Group has gained
orders with a gross value of over £560,000.  This includes 20  new
customer sites, primarily in the education sector.

The   Directors  believe  that  the  Acquisition   of   DSR   will
substantially enhance the Company's products range and client base
and will provide an opportunity for product integration and cross-
selling.    This,  taken  in  conjunction  with  the   substantial
additional  scale  and resources available to the  Enlarged  Group
leads the Directors to look to the future with confidence.
                                 
                                 
                                
                 Timetable of Principal Events
                                
                                                                    2000
                                                                
Record Date                                                1st September
                                                                
Latest time for splitting Application Forms                     
in respect of the Open Offer (to satisfy       
bona fide market claims only)                3.00 p.m. on 28th September
                                                                
                                                                
Latest time for receipt of Application          3.00 p.m. on 2nd October
Forms and payment in full                                
                                                                
Extraordinary General Meeting                   10.00 a.m.on 3rd October
                                                         
                                                                
Commencement of Dealings                                     9th October
                                                                
CREST accounts in respect of Offer Shares                    9th October
credited on
                                                                
Share Certificates in respect of Offer                      16th October
Shares despatched by