RM buys catalogue firm
Schools specialist RM is splashing out £11m on Teaching Technology Systems Group. TTS Group sells teaching aids to nursery, primary and secondary schools. It carries twelve catalogues focused on different curriculums and sells more than 4,000 different items.
Under the mostly cash deal, RM will take on £0.8m of TTS debt.
Tim Pearson, CEO of RM, said: "TTS operates in the same education marketplace as RM and shares many of our operational requirements - there are a lot of things we can learn from one another and many opportunities for joint activity between our two businesses.
"TTS will be a significant asset as RM transitions to a more broadly-based educational supplier. They have a well-regarded brand and a broad range of curriculum-focused resources that are complementary to RM's ICT products."
Raymond Griffiths, managing director of TTS, said his company had enjoyed good growth in the last few years but had reached "the next stage". This required more investment and expertise than TTS could manage on its own. He said online trading and business systems were two areas the firm would focus on.
TTS Group turned over £8.3m for the year ended 31 August 2003 and made an operating profit of £1.9m. TTS employs 70 people and operates from headquarters in Nottinghamshire. RM is paying £9.9m in cash with a further payment of £1.1m dependent on performance. ®