RM buys into music
All together now: "We don't need no ed-yoo-kayshun..."
Education IT supplier RM Plc has bought a musical instrument supplier through a subsidiary.
TTS Group Ltd, RM's arm that sells bits and bobs for classrooms, acquired Music Education Supplies for £1m.
Most of the business of both TTS and its new acquisition goes to primary and nursery schools. RM has been merging its software sales into TTS, a sign of how, as RM CEO Tim Pearson, put it: "ICT is becoming increasingly embedded in the day-to-day activities of classroom teachers."
The instrument supplier did £1.44m sales last year and made 10 per cent profit before tax. RM will pay £0.8m right away and another £0.2m on 31 March 2007 if all goes well. Ray Mason, the musical managing director, will stay on board till the fat lady sings, or not, next March.
A statement attributed to Mason, but with all the vitality of a public relations wash, summed up the sale of his small business to an education behemoth thus:
"TTS shares our commitment to providing teachers with high quality educational resources that can really make a difference in the classroom - it's a good home, both for our business and our customers. I was also encouraged to see how being part of the RM Group has helped TTS retain its existing strengths, whilst also providing a platform for future growth." ®