Holding in Company

Ricardo PLC
3 January 2001

                  DEALINGS BY SUBSTANTIAL SHAREHOLDERS


1)   NAME OF COMPANY

RICARDO PLC

2)   NAME OF SHAREHOLDER HAVING A MAJOR INTEREST

M&G INVESTMENT MANAGEMENT LIMITED

3)   Please state whether notification indicates that it is in respect of 
     holding of the Shareholder named in 2 above or in respect of a 
     non-beneficial interest or in the case of an individual holder if it is a
     holding of that person's spouse or children under the age of 18

AS IN 2 ABOVE

4)   Name of the registered holder(s) and, if more than one holder, the 
     number of shares held by each of them.

PRUCLT HSBC GIS NOM(UK) PAC AC     1,606,289

5)   Number of shares/amount of stock acquired.

NOT DISCLOSED

6)   ( N/A %) of issued Class

7)   Number of shares/amount of stock disposed

NOT DISCLOSED

8)   ( N/A %) of issued Class

9)   Class of security

ORDINARY SHARES

10)  Date of transaction

31 DECEMBER 2000

11)  Date company informed

3 JANUARY 2001

12)  Total holding following this notification

1,606,289
               
              
13)  Total percentage holding of issued class following this notification

3.35

14)  Any additional information

THIS NOTIFICATION IS NECESSARY BECAUSE OF THE TRANSFER OF THE REGULATED BUSINESS
OF M&G INVESTMENT MANAGEMENT LIMITED TO PRUDENTIAL PORTFOLIO MANAGERS LIMITED
(PPM).  PPM HAS BEEN RENAMED M&G INVESTMENT MANAGEMENT LIMITED

15)  Name of contact and telephone number for queries



16)  Name and signature of authorised company official responsible for 
     making this notification

     Date of Notification 3 JANUARY 2001............