Formation of opaqueMedia & Acquisition News

nanoUniverse PLC
9 May 2000


                    nanoUniverse plc
            ('nanoUniverse' or 'the company')

Formation of opaqueMedia ('oM', a nanoUniverse Subsidiary)
              and acquisition of Reservision

nanoUniverse is a dual US and UK Internet incubator  that
invests   in,  develops  and  operates  Internet  related
companies.   nanoUniverse  is  focused  on  early   stage
Internet  companies and concepts that are well positioned
to  capitalise on the Internet's transition to  broadband
and the convergence of the Internet and media industries.
nanoUniverse floated on the Alternative Investment Market
in   March   2000,  raising  £27.5  million   of   equity
principally from institutional investors.

*    Formation   of   a   new  100%   owned   subsidiary,
     opaqueMedia.

     *    oM  aims  to be a premier player in the rapidly
          evolving  web and interactive media design  and
          development industry.
     
     *    oM  will target clients that require assistance
          in  making  the  transition from the  prevalent
          narrowband   environment   to   the    upcoming
          broadband   environment  as  well  as   provide
          critical support services to nU's own portfolio
          companies.

*    Agreement  for  oM  to acquire  84%  of  Reservision
     (www.reservision.com), a Michigan corporation, for a
     total consideration of £901,545*.

     *    A  leading web and interactive media design and
          development firm.

     *    Clients include three of the four largest hotel
          casino companies in the world, MGM Grand  (MGG:
          NYSE), Park Place Entertainment (PPE: NYSE) and
          Mandalay Resort Group (MBG: NYSE), as  well  as
          Samsonite (SAMC: NASDAQ).
     
     *    Weekly   Gaming   Insight,   a   highly   rated
          newsletter  from Prudential Securities  on  the
          Gaming  Industry, rated the MGM Grand web  site
          (www.mgmgrand.com) developed  with  Reservision
          as the 'most improved and best overall site' in
          the casino market.

*    Appointment  of Tim Schaden, founder  and  principal
     shareholder  of Reservision, as Chief  Executive  of
     opaqueMedia.

* Translated into GBP, at a rate of $1.54 per £1.

Alan Buggy, Chairman, commented:

'The  formation  of opaqueMedia highlights nanoUniverse's
goal  to  focus on companies that are well positioned  to
take  advantage of the transition of the Internet from  a
narrowband  text  driven media, to  a  broadband  content
driven  media.   As  every  leading  company  rushes   to
incorporate broadband and interactive media features into
their  business models, we believe the opportunities  for
opaqueMedia will be significant.'

                                             
Enquiries:

nanoUniverse Plc (www.nanouniverse.co.uk)    Tel: [phone]
Alan Buggy                    E-mail: [e-mail]
Kiran Sidhu                   E-mail: [e-mail]

College Hill                  Tel: [phone]
Nicola Weiner                 E-mail: [e-mail]
Chelsea Allen                 E-mail: [e-mail]

INTRODUCTION

nanoUniverse is a dual US and UK Internet incubator  that
invests   in,  develops  and  operates  Internet  related
companies.   nanoUniverse  is  focused  on  early   stage
Internet  companies and concepts that are well positioned
to  capitalise on the Internet's transition to  broadband
and the convergence of the Internet and media industries.
nanoUniverse floated on the Alternative Investment Market
in   March   2000,  raising  £27.5  million  of   equity,
principally from institutional investors.


FORMATION OF OPAQUEMEDIA

nanoUniverse announced today the formation of a new  100%
owned  subsidiary, opaqueMedia.  oM aims to be a  premier
player in the rapidly evolving web and interactive  media
design and development industry.  oM will offer strategic
advice,   website  and  interactive  media   design   and
development services, e-commerce solutions,  as  well  as
custom   applications  and  interfaces   to   businesses,
entertainment  groups and Internet start-up's  worldwide.
In  particular,  oM  will target customers  that  require
assistance   in   the  transition  from   the   prevalent
narrowband   environment   to  the   upcoming   broadband
environment,  as  well as providing support  services  to
nU's own portfolio companies.

oM  plans  to  expand rapidly, through a  combination  of
internal growth and the acquisition of significant equity
positions  in cutting edge professional Internet  service
companies in the UK, US and Europe.  The worldwide market
for  Internet professional services is expected  to  grow
from $7.8 billion in 1998 to $78.6 billion in 2003, a ten-
fold increase representing a CAGR of almost 60%. Much  of
this  growth  is  expected to be  broadband  and  content
related. (Source: International Data Corp.)

The  Internet  professional services  business  is  self-
financing  compared to other Internet related businesses,
because  providers  collect fees for  servicing  clients.
There    are    no    upfront   technology   development,
infrastructure or marketing costs. The business is  close
to  positive  cash flow at the very onset. Once  critical
mass   is   established,  there  is  significant   profit
potential  as  well  as the capability  to  develop  core
proprietary technologies.

oM  will  also  become the favoured Internet professional
service   provider   for   all   nanoUniverse   portfolio
companies, thus capturing a captive client base.  oM will
also   become  nanoUniverse's  in-house  technology   and
marketing think-tank and provide technical assistance and
advice to nanoUniverse and its portfolio companies.

Alan Buggy, Chairman of nanoUniverse plc commented:

'The  formation  of opaqueMedia highlights nanoUniverse's
goal  to  focus on companies that are well positioned  to
take  advantage of the transition of the Internet from  a
narrowband  text  driven media, to  a  broadband  content
driven   media.  As  every  leading  company  rushes   to
incorporate broadband and interactive media features into
their  business models, we believe the opportunities  for
opaqueMedia will be significant'.



ACQUISITION OF RESERVISION

As  its  first step in fulfilling this strategy,  oM  has
entered  in a common stock purchase agreement to  acquire
84%  of Reservision (www.reservision.com), a leading  web
and  interactive  media design and development  firm  for
£901,545  in  total consideration; £353,494 in  cash  and
£548,051 in a convertible promissory note to be paid over
time  (subject  to  various performance conditions).  The
transaction is subject to customary completion conditions
including  final  due diligence, and  is  anticipated  to
close within the next few weeks.

Reservision is located in Ann Arbor, Michigan  (proximate
to  the  University of Michigan, a leading  US  technical
university  located  also  in Ann  Arbor,  Michigan)  and
currently  employs 12 professionals plus  support  staff.
1999   unaudited  turnover  was  approximately  £425,000.
Reservision   provides  strategic  advice,  website   and
interactive  media  design and development  services,  e-
commerce solutions and custom applications and interfaces
to corporate clients.  The business is experiencing rapid
growth.

Reservision has developed web sites and interactive media
for  three of the four largest hotel casino companies  in
the   world,   MGM   Grand  (MGG:   NYSE),   Park   Place
Entertainment (NYSE: PPE) and Mandalay Resort Group (MBG:
NYSE).    Other  Reservision  clients  include  Samsonite
(SAMC: NASDAQ).

Recently,  the  Weekly  Gaming Insight,  a  highly  rated
newsletter  from  Prudential  Securities  on  the  Gaming
Industry,    rated    the    MGM    Grand    web     site
(www.mgmgrand.com),  developed with Reservision,  as  the
'most  improved  and  best overall site'  in  the  casino
market.   It  goes on further to say that,  'MGM  Grand's
website  is  the prime example of what a company  can  do
when  it  combines  its creativity  with  the  Internet's
technological resources.' It then compliments Reservision
by  saying that, 'the re-launch of MGM Grand's  site  was
developed   together  with  Ann  Arbor,  Michigan   based
Reservision,  Inc.  Since 1997, Reservision  has  created
powerful     e-commerce    websites    and    interactive
presentations.    They  bring  award-winning   multimedia
design, and real-time transaction integration to existing
bricks  and  mortar  systems, enhancing  performance  and
profitability.   Reservision offers  consulting,  project
planning,  site  architecture, marketing and  development
for global brand name clients and e-commerce start-ups.'

Tim  Schaden, Chairman and CEO of Reservision, has agreed
to  join oM as Chief Executive Officer at completion, and
plans to eventually relocate to nU's US incubator located
in the greater Los Angeles area.

David Hope, nU's CEO added:

'The  acquisition of a majority stake in Reservision  was
prompted  by our respect for the talents of Tim  and  his
team.   We were particularly impressed with Tim's mission
to  ensure his clients websites not only look and operate
superbly,  but  also  become a fully integrated  part  of
their  overall business operations.  Reservision has  the
unique  capability  of  seamlessly  integrating  clients'
websites into their existing IT infrastructure.'