RM Acquires SpaceKraft

RM PLC
01 October 2007

                                                                 
                                                                 1 October 2007


         RM acquires specialist education resources provider SpaceKraft

RM announces the acquisition of SpaceKraft Ltd for a consideration of up to
£3.95m. SpaceKraft is one of the UK's leading suppliers of special educational
needs (SEN) and early years products and services. The acquisition brings
further scale to RM's growing Educational Resources business and complements
Special Direct, the Group's existing SEN business.

SpaceKraft has two main areas of activity: the installation of 'sensory
environments', which are used in both mainstream and special schools to provide
multi-sensory stimulation for SEN pupils; and the sales and distribution of a
wide range of specialist SEN / additional needs resources through three
mail-order catalogues.

Following the acquisition, SpaceKraft will retain its own brand and maintain its
well-established product development, sourcing and delivery capability. It will
be managed as separate entity within RM, reporting through the Group's TTS
subsidiary.

SpaceKraft's revenue in the year to June 2007 was £4.85m, with adjusted
operating profit of £600K. RM is paying an initial cash consideration of £3m;
further consideration of up to £0.95m (in loan notes) over the next two years,
conditional on the Directors remaining with the business and the achievement of
certain performance targets.

Commenting on the acquisition, Tim Pearson, CEO of RM, said:

'It's great news that the SpaceKraft team is joining RM. We've already
established a position in the growing SEN market through our Special Direct
business; SpaceKraft brings scale, unique products and a well-regarded brand, as
well as further specialist knowledge in this area.

'Education Resources is one of RM's chosen focus areas and has grown rapidly
since our acquisition of TTS Group in 2004. We're deliberately focusing on areas
where specialist education or technical knowledge will allow us to build a
profitable business with loyal customers. The recent acquisition of Dacta is an
example of this, and so is our expansion in the SEN market.

'SpaceKraft also fits well with our Building Schools for the Future business.
Sensory environments are often included as part of the specification for
new-build schools.'

Bruce Todhunter, Managing Director of SpaceKraft, added:

'SpaceKraft has reached the stage where it needs to be part of a bigger group if
it is to achieve its growth potential. RM shares our education focus and offers
operational skills in the areas of distribution and online selling. We look
forward to further success as part of the RM Group.'


For further information, please contact:
Mike Greig/Phil Hemmings, RM plc          08450 700300
Mark Antelme/Raphael Mazet, Brunswick     020 7404 5959


Notes:

Founded in 1973, the RM Group is a leading provider of educational products and
services to schools, colleges & universities, local government, and central
government education departments & agencies. RM works closely with
educationalists to create new products, processes and technology which improve
teaching and learning. RM is listed on the main market of the London Stock
Exchange under the symbol RM.L.

SpaceKraft was established in 1992. It employs 45 people and is based in
Shipley, Yorkshire.

RM acquired TTS Group Ltd, a specialist distributor of high quality curriculum
resources, in September 2004. Since its acquisition by RM, TTS has continued to
grow both turnover and profit, and has recently moved into a new distribution
centre in Nottinghamshire.




                      This information is provided by RNS
            The company news service from the London Stock Exchange
     ACQPUUWUBUPMGQR