Xenos Group Inc.

Xenos Group Inc.

August 14, 2007 15:02 ET

Xenos Group Inc.: Press Release

TORONTO, ONTARIO--(Marketwire - Aug. 14, 2007) - Xenos Group Inc. (TSX:XNS) today announced that its Board of Directors has appointed a Special Committee of Directors to review strategic alternatives with a view to further enhancing shareholder value.

As part of that strategic review, Xenos also announced that it has entered into a non-binding letter of intent with a third party for the possible acquisition of all of Xenos' outstanding shares by way of an amalgamation for cash consideration of Cdn. $3.00 per share. The letter of intent may or may not lead to the execution of a definitive agreement and the transaction being finalized. In the event that a definitive agreement is consummated, Xenos will convene a special meeting of shareholders to seek approval of the transaction.

The Special Committee will also seek additional expressions of interest from other third parties up to 5:00 p.m. on August 17, 2007 for the possible acquisition of all of Xenos' shares. No assurances can be provided that this will result in any specific action being taken by the Company.

About Xenos

Xenos (TSX:XNS) high-performance data and document management solutions provide organizations with a powerful competitive advantage-adaptability. Xenos powers information supply chains-without re-engineering-by transforming and repurposing both static and transactional information.

Xenos solutions increase the efficiency, agility and accountability of organizations worldwide across a wide variety of industries including financial services, insurance, healthcare, telecommunications, manufacturing, logistics, transportation, retail and government sectors. Xenos has offices in Canada, the United States, the United Kingdom and France and sells and supports its solutions directly and through a global network of resellers and partners. For more information, visit www.xenos.com

Xenos trades on the Toronto Stock Exchange under the trading symbol 'XNS.'
For more information, visit www.xenos.com

Certain statements made in this press release are forward-looking within the meaning of certain securities laws. Such forward-looking statements are based on a number of assumptions and involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company or developments in the Company's business or its industry to differ materially from the anticipated results, performance, achievements or developments expressed or implied by such forward-looking statements. The Company urges you not to place undue reliance on these estimates, opinions and projections. The Company assumes no obligation to update forward-looking statements if assumptions or these plans, estimates, opinions or projections should change.

For further information, visit www.xenos.com

(C) 2007 Xenos Group Inc. All rights reserved.

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