Acquisition

Sanderson Group PLC
07 July 2005


For Immediate Release                                                7 July 2005

                 Sanderson Group plc: £1.75million Acquisition
             First acquisition since AIM Flotation in December 2004


Sanderson Group plc ('Sanderson'), an established provider of software and IT
services to UK commercial markets, today announces the acquisition of
Progressive Computer Systems Limited ('Progressive'), for a maximum
consideration of £1.75million.  This is the first acquisition by Sanderson since
its flotation on AIM in December 2004.

Based in Batley, West Yorkshire, Progressive is a provider of browser-based
software solutions, under the e-organiser brand, to mainly commercial
organisations in the UK.  Progressive, which is owned by Mr Robert Davison was
founded in 1995, currently employs 22 people, and subsequent to the acquisition,
Mr Davison will continue as Managing Director.  The acquisition complements the
position of Sanderson in its UK target markets and provides Progressive with the
strength of the Sanderson brand to develop new business opportunities.

The total initial consideration for the acquisition is £750,000 in cash plus the
issue of 375,000 ordinary shares of 10p nominal value each in the capital of
Sanderson (the 'consideration shares').  The consideration shares are valued at
£245,625 based on the average closing mid market price of 651/2p over the ten
business days preceding 7th July 2005.  The consideration shares will be subject
to a twelve month period during which they may only be disposed of with the
prior consent of Sanderson.  An application has been made to the London Stock
Exchange for the consideration shares to be admitted to AIM.

Up to £750,000 of additional cash consideration may be payable dependent upon
the achievement of certain performance targets related to the results of
Progressive for a period ending not later than 31st October 2007.

In the twelve months to 31 October 2004, Progressive achieved turnover of
£1.37million (2003: £951,000) and earnings before interest and tax of £176,000
(2003: £6,000).  It had gross assets of £549,000 at 31 October 2004.  Sanderson
expects the acquisition to be earnings enhancing in the financial year ending 30
September 2006, the first year in which Progressive will contribute a full
year's results.

Commenting on the acquisition, Christopher Winn, Chairman of Sanderson, said:
'We are delighted to welcome Progressive to the Sanderson Group.  As our first
acquisition since flotation on AIM in December 2004, Progressive demonstrates
our 'Buy and Build' strategy, providing the Group with new revenue streams and
market opportunities.  We are confident that Progressive will provide a
significant contribution to the Group in the years to come.'

Enquiries:
Sanderson - Christopher Winn, Chairman        02476 555466
Sanderson - Adrian Frost, Finance Director    02476 555466

Binns Winningtons - Paul Vann                 0117 9200092 

Note: 
The statement regarding earnings enhancement should not be interpreted to
mean that earnings per share will necessarily be greater than those for the 
relevant preceding financial period.

Not for release, distribution or publication in or into the United States,
Canada, Australia, Japan and the Republic of Ireland 




















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