Speedus Engages Morgan Joseph to Evaluate Strategic Alternatives for Zargis Subsidiary

FREEHOLD, N.J., Feb. 3 /PRNewswire-FirstCall/ -- Speedus Corp. (Nasdaq: SPDE), announced today that it has engaged Morgan Joseph & Co. Inc., a full service investment bank, to evaluate strategic alternatives available to maximize shareholder value with respect to Speedus Corp's subsidiary, Zargis Medical Corp.  Zargis has created the world's first FDA-cleared medical software to identify and classify suspected systolic and diastolic heart murmurs and is the co-recipient of Popular Science magazine's 2009 "Innovation of the Year" award.

"We are very pleased to have Morgan Joseph serve as our financial advisor as we explore options to optimize the value of Zargis for Speedus shareholders.  Morgan Joseph is a leading middle market investment bank with expertise in the medical device and healthcare technology sectors," stated Shant Hovnanian, Chairman & CEO of Speedus.

According to Mitchell Stern, a Managing Director in Morgan Joseph's Healthcare Investment Banking Group, "Medical technology companies continue to attract interest, particularly when their technologies provide an opportunity to improve care while lowering systemic costs and offer applications for the home health and telemedicine markets.  Zargis is well-positioned for growth within all of these arenas. There's no question that it's a good time to explore opportunities for Zargis."

About Morgan Joseph & Co. Inc.

Morgan Joseph & Co. Inc. is a full service investment banking firm with over 120 employees in 11 offices dedicated to serving middle market companies. The firm's primary focus is on providing financial advisory and capital raising services in the U.S., Asia and Europe. Our services include mergers and acquisitions advice, restructuring advice, private placements and public offerings of debt and equity. For its institutional investor clients, Morgan Joseph provides a full range of sales and execution services, including equity research and specialized reports. For more information go to www.morganjoseph.com.

About Speedus Corp.

Speedus Corp. (NASDAQ: SPDE) operates through its two majority subsidiaries, Zargis Medical Corp. and Density Dynamics, Inc. Additional information on Speedus Corp. may be obtained at www.speedus.com or by contacting Peter Hodge at 888-773-3669 (ext. 23) or [email protected].

FORWARD-LOOKING STATEMENTS

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements relating to the expected benefits of the Company's new relationship with Morgan Joseph & Co., Inc., including the effect of this relationship on the Company's future strategic plans, as well as statements that contain words such as "expect," "fully expect," "expected," "appears," "believe," "plan," "anticipate," "would," "goal," "potential," "potentially," "range," "pursuit," or "preliminarily." These forward-looking statements are subject to risks and uncertainties, including the risks and uncertainties that the Company's relationship with Morgan Joseph & Co, Inc., will not have the expected beneficial impact on the Company or on its future strategic goals, as well as the risks and uncertainties set forth in our Annual Report on Form 10-K filed October 13th, 2009, particularly those identified in Risk Factors Affecting Our Business. There can be no assurance that any expectation, express or implied, in a forward-looking statement will prove correct or that the contemplated event or result will occur as anticipated.

SOURCE Speedus Corp.