RM confirms joint venture wit

RNS Number : 6858S

RM PLC

15 September 2010

 



  15 September 2010

RM confirms joint venture with LEGO Education

RM plc confirms that it has formed a joint venture with LEGO® Education, which will be the exclusive distributor of LEGO Education products and services to education customers across Europe. RM announced on 17 May 2010 that it had signed a letter of intent with LEGO setting out the two companies' intention to create the joint venture.

The joint venture will take the form of a new company, to be called LEGO Education Europe Ltd, 51% owned by the LEGO Group and 49% by RM, based in the United Kingdom. Senior management for LEGO Education Europe will be provided by LEGO Group and RM. The new company will hold European distribution rights for LEGO Education products initially for ten years from January 2011.

LEGO Education Europe will enable LEGO Education and RM to gain consumer insights and develop a stronger market understanding through the entire value chain with the purpose of better serving consumer needs. This will strengthen the market offering by focusing on comprehensive educational solutions and allow more coherent brand communication around the LEGO Education proposition in core markets like the United Kingdom and Germany

The company will start trading from 1 January 2011 and build on the strong distribution network currently operated by RM Group Company, DACTA, with day-to-day operational activities provided by RM's Education Resources division.  To ensure closer relationships with end users, an online LEGO Education community platform will be established in the United Kingdom in early 2011 to provide further support, training and materials for the educators.

Terry Sweeney, Chief Executive of RM, said:
"I am delighted that LEGO Education has recognised the educational expertise and market reach that the RM Group provides. Working together, we have the opportunity to enhance the value education customers across Europe get from LEGO Education products. Our research shows that, in the UK nearly nine out of ten teachers agree that these products have direct curriculum relevance. In a society where science, technology, engineering and maths are ever more important, we see great opportunities ahead."

Jacob Kragh, President of LEGO Education, said:
"LEGO Education is gaining increasing recognition for supporting 21^st century skills and LEGO Education Europe will be an important factor in achieving our ambitious goals of expanding the LEGO Education offering and doubling our turnover by 2015. We have been looking to provide more value to the education institutions that choose our solutions, and it was clear that the RM Group is the right partner to support our mutual growth ambitions in Europe.

For further information, please contact:

Iain McIntosh/Phil Hemmings, RM plc	08450 700300
Chris Blundell/Leonora Burtenshaw, Brunswick	020 7404 5959
Andrew Arnold, The LEGO Group:	[phone]

About RM plc
The RM Group is a leading provider of educational solutions that help teachers to teach and learners to learn. RM works closely with educationalists to create new products, processes and technology which improve education. RM is listed on the main market of the London Stock Exchange under the symbol RM.L, ISIN GB0002870417. Further details are available at www.rm.com/investors and through the Group's investor blog at rminvestors.wordpress.com

About LEGO® Education
LEGO® Education is a division of the LEGO Group, based in Billund, Denmark. The division was established in 1980 in response to demands from childcare practitioners.Today, LEGO Education is committed to the development of children's creative, problem-solving and teamwork abilities through its educational solutions that are developed for children and students from 1½ to 16 years and beyond. Solutions can be purchased through specializededucational distributors in more than 50 countries. www.LEGOeducation.com

 

END

 

 

JVEUSANRRVAKAAR