Advanced Communications Technologies, Inc. - Gawler Board Approval of Australon Reverse Merger

Business Wire, Sept 6, 2000

Business/Technology Editors

NEW YORK--(BUSINESS WIRE)--Sept. 6, 2000

The Chief Executive Officer of Advanced Communications Technologies Inc. (OTC -BB- "ADVC") Roger May, today announced that Australian associate company Australon Enterprises Australia Pty Ltd (Australon) had executed a Share Sale Agreement with the Board of Directors of Gawler Gold and Mineral Exploration NL ("Gawler") pursuant to which Gawler Gold will, subject to shareholders' approval, acquire a 100 percent interest in the Australon business.

Advanced Communications Technologies Inc is a 20% equity holder of Advanced Communications Technologies Australia Pty Ltd, which in turn owns 80% equity of Australon. The company is based in Melbourne, Australia, and is quickly establishing itself in Australia and Asia as a leading developer and marketer of control and monitoring systems based on the LonWorks technology, developed and produced by Echelon Inc.

A special General Meeting, at which certain resolutions relating solely to the proposed transaction will be put before the Gawler shareholders, is planned for early November. Once approval has been received from the Gawler shareholders, Australon shareholders will own approximately 80% of the new Australian Stock Exchange listed company, which will be renamed the Australon Group Pty Ltd.

"It is currently envisaged that an Information Memorandum should be ready for mailing to all shareholders by no later than September 29, 2000," said Mr. May. "Under Australian law, Gawler is then required to provide a notice period of no less than 28 clear days and, as such, the Meeting has been tentatively scheduled to be held in the week beginning Monday, November 6, 2000."

The principal terms of the proposed transaction are that Gawler will purchase all of the issued shares in Australon for a price of AU$65 million. Gawler will then acquire the business of designing, developing and marketing a range of products and applications in relation to interconnected monitoring and control systems utilising "LonWorks" technology.

"We are obviously very excited by the potential that this agreement with Gawler offers the Australon brand," said Mr. May. "Australon has already carried out an extensive marketing campaign in Australia and Asia and there has been a great deal of interest in the range of products that the group has already developed and produced."

"The listing of the Australon on the Australian Stock Exchange can only be beneficial as it will give greater financial strength and security and the opportunity for investors to be rewarded as the company continues to grow."

Mr. May said that Australon was also working closely with Echelon in the region and in the United States and that he felt confident that the company had new products in development that would establish the company as a leader in the field.

"It is also good news for the joint venture company that was recently established in the United States between Advanced Communications Technologies Inc. and Australon Enterprises Pty Ltd," said Mr. May. "The potential for that company, which was formed to market and distribute the extensive range of LonWorks based network control products being developed in Australia, has been significantly enhanced by the transaction that has been agreed with Gawler."

The foregoing contains forward-looking information within the meaning of The Private Securities Litigation Act of 1995. Such forward-looking statements involve certain risks and uncertainties. The actual results may differ materially from such forward-looking statements. The company does not undertake to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results (expressed or implied) will not be realized.