Acquisition of Complementary Telecomms Business

Halma PLC 15 May 2000 HALMA ACQUIRES COMPLEMENTARY TELECOMMUNICATIONS BUSINESS MARKET ENHANCEMENT IN SAFETY NICHE Electronic Micro Systems Inc. ('EMS'), is one of the Group's fast growing and successful electronic safety companies and is the market leading supplier of emergency telecommunications equipment for elevators. To further enhance the position of EMS, the Directors of Halma p.l.c. announce that on Friday, 12 May 2000, the Group completed the purchase of the business and assets of Vandal-Proof Products Inc. based in Trenton, New Jersey, USA. This business will be folded into EMS. Stephen O'Shea, the Halma Group Chief Executive commented 'Growing concern for safety in public places, supported by increased legislation, is providing many opportunities. Vandal-Proof Products is a rapidly-growing business creating and selling vandal-resistant emergency voice communication products. These are used in transportation facilities such as airport terminals, metro stations and other areas such as parking garages, university campuses and shopping malls. The addition of the new technology and control software will accelerate profit growth from EMS.' The unaudited accounts of Vandal-Proof Products show sales in the year to 31 December 1999 of $1,264,000, and net tangible assets at acquisition were $363,000. The maximum consideration payable, including non-competition payments and the maximum possible bonuses earned on the sales of Vandal-Proof Products up to 30 March 2002 amounts to $920,000. Copies of this announcement may be obtained from the Company's registered office for a period of fourteen days. Press Contact: Mr Stephen R O'Shea Chief Executive, Halma p.l.c. Tel: +44 (0)1494 721111