Xybernaut(R) Completes $18 Million Institutional Placement of Common Stock

Institutional Ownership Doubles to More Than 15%



Nov 15, 2000, 00:00 ET from Xybernaut Corporation

    FAIRFAX, Va., Nov. 15 /PRNewswire/ --
 Xybernaut Corporation (Nasdaq: XYBR), the leader in mobile wearable computing
 and wireless communications, today announced that it had recently placed
 $18 million of common stock with institutions, with $15 million of this amount
 completed this week.  The placements were structured as a sale of common stock
 valued at a discount to past market prices without reset or repricing
 provisions.  The institutions also received warrants to purchase stock that
 would raise an additional $9 million for the Company if fully exercised.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/20000811/XYBLOGO )
 
     "We are pleased that we were able to complete the largest single financing
 in Company history despite some very difficult market conditions," stated
 Edward G. Newman, Chairman and CEO of Xybernaut.  "More significant is the
 addition to our base of institutional shareholders who understand the
 potential for the wearable computing and communications markets and
 Xybernaut's leadership role in these markets.  Based on available 13F reports
 and this financing, our institutional ownership has increased to the 15% to
 20% range from less than 1% at the end of March 2000.  This financing allows
 us to move forward with confidence to execute our business plan and
 aggressively strengthen our extensive intellectual property."
 
     About Xybernaut Corporation:
     Since its founding in 1990, Xybernaut has been the leading provider of
 mobile, wearable computing hardware, software and services, bringing wireless
 communications and full-function Pentium computing power in a hands-free
 design to people when and where required.  With over 500 patent applications
 granted or pending worldwide, Xybernaut is well positioned to continue its
 leadership role in this market.  The Mobile Assistant IV (MA IV(R)),
 Xybernaut's current mobile, wearable PC, runs all major operating systems on
 Intel x86 architecture, such as Windows or Linux.  With the MA IV, customers
 can realize immediate productivity increases and savings in maintenance and
 repair, diagnosis, inspection, inventory control and data collection
 procedures.  Xybernaut provides management and information technology
 consulting services, along with asset management software, for
 telecommunications systems, roads, waterways, railways, utility, pipelines,
 and other.  Solutions have been developed for all major operating systems and
 architectures.  Xybernaut's target markets include manufacturing,
 distribution, transportation, government, and utilities.  Headquartered in
 Fairfax, Virginia, Xybernaut has offices and subsidiaries in Europe and Asia.
 Visit Xybernaut's web site at www.xybernaut.com .
 
     This press release contains forward-looking statements within the meaning
 of The Private Securities Litigation Reform Act of 1995 (the "Act").  In
 particular, when used in the preceding discussion, the words "plan,"
 "confident that," "believe," "scheduled," "expect," or "intend to," and
 similar conditional expressions are intended to identify forward-looking
 statements within the meaning of the Act and are subject to the safe harbor
 created by the Act.  Such statements are subject to certain risks and
 uncertainties and actual results could differ materially from those expressed
 in any of the forward-looking statements.  Such risks and uncertainties
 include, but are not limited to, market conditions, the availability of
 components and successful production of the Company's products, general
 acceptance of the Company's products and technologies, competitive factors,
 timing, and other risks described in the Company's SEC reports and filings.
 
 

SOURCE Xybernaut Corporation
    FAIRFAX, Va., Nov. 15 /PRNewswire/ --
 Xybernaut Corporation (Nasdaq: XYBR), the leader in mobile wearable computing
 and wireless communications, today announced that it had recently placed
 $18 million of common stock with institutions, with $15 million of this amount
 completed this week.  The placements were structured as a sale of common stock
 valued at a discount to past market prices without reset or repricing
 provisions.  The institutions also received warrants to purchase stock that
 would raise an additional $9 million for the Company if fully exercised.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/20000811/XYBLOGO )
 
     "We are pleased that we were able to complete the largest single financing
 in Company history despite some very difficult market conditions," stated
 Edward G. Newman, Chairman and CEO of Xybernaut.  "More significant is the
 addition to our base of institutional shareholders who understand the
 potential for the wearable computing and communications markets and
 Xybernaut's leadership role in these markets.  Based on available 13F reports
 and this financing, our institutional ownership has increased to the 15% to
 20% range from less than 1% at the end of March 2000.  This financing allows
 us to move forward with confidence to execute our business plan and
 aggressively strengthen our extensive intellectual property."
 
     About Xybernaut Corporation:
     Since its founding in 1990, Xybernaut has been the leading provider of
 mobile, wearable computing hardware, software and services, bringing wireless
 communications and full-function Pentium computing power in a hands-free
 design to people when and where required.  With over 500 patent applications
 granted or pending worldwide, Xybernaut is well positioned to continue its
 leadership role in this market.  The Mobile Assistant IV (MA IV(R)),
 Xybernaut's current mobile, wearable PC, runs all major operating systems on
 Intel x86 architecture, such as Windows or Linux.  With the MA IV, customers
 can realize immediate productivity increases and savings in maintenance and
 repair, diagnosis, inspection, inventory control and data collection
 procedures.  Xybernaut provides management and information technology
 consulting services, along with asset management software, for
 telecommunications systems, roads, waterways, railways, utility, pipelines,
 and other.  Solutions have been developed for all major operating systems and
 architectures.  Xybernaut's target markets include manufacturing,
 distribution, transportation, government, and utilities.  Headquartered in
 Fairfax, Virginia, Xybernaut has offices and subsidiaries in Europe and Asia.
 Visit Xybernaut's web site at www.xybernaut.com .
 
     This press release contains forward-looking statements within the meaning
 of The Private Securities Litigation Reform Act of 1995 (the "Act").  In
 particular, when used in the preceding discussion, the words "plan,"
 "confident that," "believe," "scheduled," "expect," or "intend to," and
 similar conditional expressions are intended to identify forward-looking
 statements within the meaning of the Act and are subject to the safe harbor
 created by the Act.  Such statements are subject to certain risks and
 uncertainties and actual results could differ materially from those expressed
 in any of the forward-looking statements.  Such risks and uncertainties
 include, but are not limited to, market conditions, the availability of
 components and successful production of the Company's products, general
 acceptance of the Company's products and technologies, competitive factors,
 timing, and other risks described in the Company's SEC reports and filings.
 
 SOURCE  Xybernaut Corporation

RELATED LINKS

http://www.xybernaut.com