CMG Croma Grp

RNS Number:2381F
CMG PLC
9 February 2000

   CMG plc acquires Tell.IT in the Netherlands
                        
                        
CMG plc, the European IT services Group, announces that it has
acquired on 8 February 100% of Tell.IT International BV.
Tell.IT is a Dutch consultancy company, concentrating on the
telecommunications market, which employs 75 people. Tell.IT
provides technical consultancy services to incumbent and new
entry network operators and suppliers.

Tell.IT was founded in 1996 and has built a strong reputation
in its niche market. Its client base includes major network
operators, some of which are new to CMG's customer portfolio.
Tell.IT mainly operates in The Netherlands, but has developed
some international business. The current employees and
management team are committed to the merger and will work in co-
ordination with CMG's Telecommunications operation in Utrecht
under the name of CMG: Tell.IT.

In the year ended 31 December 1999, Tell.IT had a turnover of
NLG 15.5 million and a profit before tax of NLG 4.0 million.
The total consideration, to be paid in cash, is NLG 25.2
million representing goodwill plus an amount of approximately
NLG 3.3 million for net assets. The company is expected to make
a positive contribution to CMG's earnings before goodwill
amortisation in 2000. The results will be consolidated within
the CMG Group accounts from 1 January 2000.

CMG Benelux Chairman, Hugo Schaap, commented:

   "Tell.It operates in the telecoms arena, one of our
   spearhead markets. Their activities are complementary to our
   existing services business in telecoms. Tell.ITbrings a
   sound client base to CMG, some new and others that deepen
   our relationships with existing customers. We have a good
   track record of successfully integrating such niche
   acquisitions into CMG to the advantage of our business and
   its stakeholders."
   
Cor Stutterheim, Chairman of CMG, added:

   "We continue to pursue our strategy of adding to our organic
   growth through acquisition when we identify suitable
   businesses with good management, like-minded people and
   established customer relationships."
   
   
CMG's results for the half year to 30 June 1999 were announced
on 1 September 1999 and showed revenue growth of 50% and profit
growth (before tax and goodwill amortisation) of 54%. CMG's
results for the full year to 31 December 1999 will be announced
on 21 February 2000.
                  

For further information please contact:



Hugo Schaap, Country Chairman, CMG Benelux,
tel: +31 (0)20 50 33 000

Tony Richards, Group Communications (London), CMG plc,
tel: +44 (0)171 592 4000

Jan Massier, Group Communications (Amsterdam), CMG B.V.,
tel: +31 (0)20 67 20 444


About CMG

CMG plc is a leading Information & Communications Technology
(ICT) services group, providing business information solutions
through consultancy, systems development & integration,
software applications and managed services. Established in
1964, CMG operates from European bases in the UK, The
Netherlands, Germany, France and Belgium, implementing and
supporting applications for clients around the world.  The
Group includes a global product business for mobile
telecommunications with support centres in Europe, the Americas
and Asia Pacific.  CMG is listed on both the London and
Amsterdam stock exchanges.

CMG has proven knowledge, products and solutions in the
finance, trade transport & industry, telecommunications, media,
energy, utility and government markets.  The Group also
provides outsourced business services ranging from payroll
processing and personnel administration to call centres and
networked systems.

CMG works alongside its customers to generate success for them.
Through the quality of its services and the long term
commitment of its staff, CMG adds value to its customers'
businesses and thereby creates a basis for the Group's long
term success.


END

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