Acquisition of SAP Reseller and Support Business

Diagonal PLC
15 June 2000


DIAGONAL PLC - ACQUISITION OF DATEL'S SAP RESELLER AND SUPPORT BUSINESS

DIAGONAL PLC announces the asset purchase of Datel's SAP reseller and support
business, for a maximum consideration of £457,388.  The initial consideration
of £297,388 is payable in cash on completion and further payments depend upon
customer contracts that are expected to be signed following completion of the
acquisition.  

Mark Samuels, Executive Chairman of DIAGONAL commented:

'The acquisition of Datel's SAP business will enhance the DIAGONAL client base
of installed SAP users and further demonstrates DIAGONAL's commitment to the
implementation and support of SAP.'