Stmnt re Share Price Movement

K3 Business Technology Group PLC
08 May 2005


                        K3 Business Technology Group plc
                            ('K3' or 'the Company')

                                 Trading Update

The Board of K3 notes the recent movement in its share price and accordingly
wishes to confirm that the Company's operating profit in 2004 was in line with
market expectations and that trading to date in 2005 has been encouraging.

In particular, K3 Landsteinar, the Microsoft Navision software provider,
acquired in October 2004, has secured two new contracts worth a total of £1.0m.
The contracts have been signed with a leading UK builders' merchant and Space
NK, the luxury beauty product retailer. Space NK already uses K3's Elucid
solution for catalogue management and web ordering. Each contract is worth
£0.5m.

As previously stated, the Company's objective is to expand its business
activities and the Board continues to review and evaluate acquisition
opportunities. The Company is currently in late stage negotiations with a third
party in respect of one such opportunity and, assuming a successful outcome of
these negotiations, K3 hopes to announce its results for the year ended 31
December 2004 at the time of the acquisition. A further announcement will be
made in due course.

Enquiries:

K3 Business Technology Group plc                                 T: 01282 864111
Andy Makeham, Chief Executive

Biddicks                                                        T: 020 7448 1000
Katie Tzouliadis/Zoe Biddick


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