Evolved enters into an asset purchase agreement with Shimadzu



    MONTREAL, March 30 /CNW Telbec/ - Evolved Digital Systems Inc. (TSX:
EVD)(the "Company"), announced today that it has entered into an asset
purchase agreement with Shimadzu Corporation, Japan ("Shimadzu") to implement
the previously announced proposal whereby Shimadzu will purchase substantially
all of the assets of the Canadian operations of the Company for US$8.5
million. As previously disclosed, the Company is obligated to use the proceeds
to repay all secured debt, including all amounts owed to Argosy Bridge Fund
L.P. II and Garantie Québec, which totals approximately US$ 4.4 million. The
transaction is subject to conditions usual for a transaction of this type.
    Argosy Bridge Fund L.P. II has agreed to extend their previously
disclosed forbearance arrangement related to the matured debt until April 17,
2007. The transaction with Shimadzu is expected to close by April 17, 2007.
    When completed, the transaction will enable the Company to satisfy all of
its current and long-term debt obligations and focus on the Company's core
radiology business of managed services solutions for hospitals and imaging
centers.
    "This sale provides a full and fair valuation for this business, and
allows Evolved to increase its financial flexibility," said Bill D. Greer,
Evolved's President and Chief Executive Officer.
    "We are very pleased to formalize this transaction with Shimadzu
Corporation, one of the world's leading manufacturers of medical imaging
systems," Greer said. "We now plan to focus our attention on the growth
opportunities within our core radiology information system business."

    About Evolved

    Through its Digital Imaging Workflow Solution, Evolved serves its clients
with a Managed Services approach proven to increase operational efficiency and
to reduce IT spending in hospitals and imaging facilities across the United
States. Evolved's fully managed, web-based RIS solution includes image and
data verification from a modality to the archive and/or HIS, on-line dictation
and transcription, and optional integrated PACS with 5 years of on-site
storage. Evolved's Managed Services offering provides a unique workflow
solution seamlessly integrated, and backed by a highly qualified and dedicated
team of experts. Evolved's clients can additionally choose to utilize
Evolved's secure, state of the art data center for offsite archiving and
disaster recovery. Evolved's solution addresses common challenges small to
medium sized facilities face today by providing custom solutions, founded on a
pay as you go financial model, and backed by unparalleled off-site customer
service and support. Evolved is a publicly traded company listed on the
Toronto Stock Exchange (TSX: EVD). Corporate headquarters are based in Laval,
Quebec. U.S. offices are located at 5141 Virginia Way, Suite 300, Brentwood,
TN 37027.
    For more information, contact EVOLVED at 1-800-5EVOLVED or visit the
company website at www.evolveddigital.com

    About Shimadzu Corporation

    SHIMADZU is one of the world's leading manufacturers of advanced imaging
systems and equipment for use in medical diagnosis and treatment. Based in
Kyoto, Japan, Shimadzu is a $2 billion multinational corporation with three
major divisions: Medical Systems, Aircraft Equipment, and Analytical/Measuring
Instruments. For more information, please visit the Shimadzu website at
www.shimadzu.com

    FORWARD_LOOKING STATEMENTS: Certain statements in this communication may
constitute forward-looking statements. They are based on management's current
expectation and could be affected by numerous factors and are subject to
various risks and uncertainties. Certain of those risks and uncertainties are
discussed in company filings with the Canadian Securities Commission. Do not
rely on any forward-looking statements as we cannot predict or control many of
the factors that ultimately may affect our ability to achieve the results
estimated. We make no promise to update any forward-looking statement, whether
as a result of changes in underlying factors, new information or future
events.

    The TSX has neither approved nor disapproved the information contained
    herein.




For further information:

For further information: Linda Willis, Vice President and Controller,
(615) 850-3029, linda.willis@evolveddigital.com; Source: Evolved Digital
Systems Inc.

Organization Profile

EVOLVED DIGITAL SYSTEMS INC.

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