International Datacasting Corporation

International Datacasting Corporation

September 29, 2005 17:00 ET

International Datacasting Corporation Plans Acquisition of Profline B.V.: Will Add New Products And Grow Presence In Europe

OTTAWA, ONTARIO--(CCNMatthews - Sept. 29, 2005) - International Datacasting Corporation (TSX:IDC) announced today that it has entered into a non-binding agreement to acquire 100% of the shares of PROFline B.V., a privately-held company based in the Netherlands specializing in advanced network equipment and systems for the digital satellite and cable broadcast market.

PROFline has its own R&D and manufacturing capabilities providing products and integrated systems for radio networks, broadcasters, and satellite operators internationally.

The completion of this transaction is subject to standard terms and conditions including Board and regulatory approvals as well as due diligence. The transaction is expected to close 1 November 2005. The financial terms of the acquisition will include both cash and IDC common shares and a portion of the payment will be subject to certain earn-out provisions. Additional details of the transaction will be disclosed through the appropriate regulatory filings.

Ron Clifton, President and CEO of IDC commented, "This acquisition is an important move for us-IDC and PROFline are an excellent fit. PROFline has great products and great people that will help strengthen our presence in Europe, an area that has traditionally been a good one for us. PROFline has complementary broadcast-oriented products that we plan to market in other regions of the world through our own international distribution network. Plus it's a well-managed company with a proven track record of financial performance and profitability."

Rob Katsma, Managing Director, co- founder and major shareholder of PROFline, added "We are very pleased to have the opportunity to join IDC and be part of this international expansion. We have worked with IDC in the past and been impressed with the company and its excellent reputation in the industry. By joining forces and putting our products and technologies together we can now offer a more comprehensive and competitive range of solutions in this growing market."

Ron Clifton continued: "The time is right in our industry for consolidation and strengthening of companies. This important step is intended to broaden our portfolio, grow the company, and make IDC one of the major players in an extremely important market niche. We believe that it will contribute to long-term shareholder value and improved service to our customers-past, present, and future."

About International Datacasting Corporation:

IDC (TSX:IDC) provides advanced products, systems and services for the implementation of broadband wireless infrastructure networks used to distribute multimedia data. IDC is at the forefront of delivering IP-based datacasting solutions via satellite and content distribution technologies. IDC's products are in demand for high-speed Internet infrastructure, enterprise networks, distance learning, and other multimedia content distribution applications. IDC is a recipient of numerous awards including the prestigious Canada Export Award for Innovation and Technology Achievement. IDC is headquartered in Ottawa, Canada with an established international network of partners and distributors and installations in more than 75 countries worldwide. Visit IDC at their website:

About PROFline BV:

PROFline B.V., a privately owned company located in Arnhem, the Netherlands, is a major supplier of audio and data distribution systems for the global broadcast satellite and CATV market. PROFline has been referenced by large global operators including VT Communications, BBC World Service, Deutsche Welle and other major national and international satellite, broadcast and cable head-end operators. For more information on PROFline products and services visit their website at

This press release contains forward-looking statements that may involve risks and uncertainties. Actual results may differ materially. Factors that might cause a difference include, but are not limited to, competitive developments, risks associated with IDC's growth, the development of the satellite datacasting market, regulatory risks, intellectual property infringement and other factors. IDC assumes no obligation to update these forward-looking statements to reflect events or circumstances after the date hereof. More detailed information about potential factors that could affect IDC's financial and business results is included in the public documents IDC files from time to time with Canadian securities regulatory authorities.

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