2ndWave Software Acquires XTEND to Fuel Amcom Growth

Second Acquisition in Eight Months In Line With Strategy to Capture Value in Steady-Growth,
Niche Software Companies

MINNEAPOLIS, MN – November 16, 2007 – 2ndWave Software announced today it has acquired XTEND Communications, a long-time provider and innovator in mission critical communications software. 2ndWave will combine XTEND with Amcom Software, which it acquired in March 2007, to create the leader in the market of mission critical communications software. The combined organization will have unparalleled market breadth, extensive product lines, employees of more than 150, and annual sales of in excess of $28 million.  

 “This transaction is in line with 2ndWave’s strategy of finding great value in smaller software companies,” said Chris Heim, CEO of both 2nd Wave Software and Amcom Software. “When we acquired Amcom, we liked what we saw -- an excellent opportunity to grow and optimize a strong company, position it as a centerpiece, and fuel its growth by acquiring related companies like XTEND,” he said.

“This niche market holds a lot of promise for growth and expansion,” added Dan Mayleben CFO of both 2nd Wave Software and Amcom Software.  ”And this acquisition is great news for Amcom and XTEND customers who can rely on 60 years of combined experience — especially in healthcare communication technologies —  to lead the market and address demands with product innovation, vertical market knowledge and customer service.”
The combined company serves the mission critical communication needs of 80 percent of the top-ranked hospitals in the country.

According to Heim, the foundation is set for continued growth. “Amcom is a growing profitable business with a strong balance sheet and this acquisition expands both the customer base and the product footptint,” he said. “We will continue to significantly increase revenue with a blend of healthy organic growth and strategic acquisitions such as this.”
The company will operate under the corporate name of Amcom Software and will maintain the complete XTEND product suite. While Minneapolis will become the headquarters for the combined organization, the XTEND Communications office  in New York will retain a sizable staff dedicated to support, development, implementation and sales. Amcom will support and enhance both companies’ product lines.

About XTEND Communications
For 40 years, XTEND has provided innovative, customer-focused telecommunications solutions to the healthcare, public safety, education, hospitality and enterprise business markets. Today, more than 1,000 customers rely on XTEND solutions to ensure excellent communications.  XTEND products and services are built to match the unique needs of a specific organization or industry.  For more information, visit www.xtend.com.

About 2ndWave Software
2ndWave Software has been established to acquire and operate software companies.  Working in conjunction with CIBC World Markets, 2ndWave Software buys companies and then partners with the management team to improve operating results and execute additional acquisitions to grow the company to a critical mass.  2ndWave Software is led by two veteran software executives who have strong operational track records and experience executing and integrating acquisitions. For more information, visit www.2ndwavesoftware.com.

About Amcom Software
Amcom Software provides mission critical communications technology solutions for organizations that depend on speed, accuracy, and productivity to support day-to-day business continuity and event-driven communications.  Amcom’s open technology, standards-based solutions are used by more than 400 blue-chip companies in healthcare, education, finance, utilities and government agencies.  Amcom Software customers include Duke University, Cedars Sinai Medical Center, Memorial Sloan-Kettering Cancer Center, New-York Presbyterian Hospital, the U.S. Department of the Army, Yale University and Stanford University Medical Center.  For more information, visit www.amcomsoftware.com.