Symyx Secures a Leading Position in R&D Informatics for Life Sciences and Chemicals Industries

Symyx Technologies, Inc. will acquire certain content and software products of MDL Information Systems for $123 million in cash (subject to a working capital adjustment) from Elsevier Inc.

Following the closing of the acquisition, Symyx expects to work closely with Elsevier, the world''s leading publisher of scientific, technical and medical information, in key areas as part of a continuing strategic relationship to support existing and new customers.

Following the sale to Symyx of the infrastructure-related software applications and databases of MDL, the content assets of MDL retained by Elsevier - including CrossFire Beilstein, the Patent Chemistry Database, Gmelin and PharmaPendium - will be integrated within Elsevier''s Science & Technology operations. Elsevier sees considerable opportunities in the pharma biotech sector and will capitalize on these through a content-led approach, providing for researchers essential content linked to new R&D and productivity tools.

Through this acquisition, Symyx will become a leader in R&D informatics with:

• Expanded portfolio of complementary, integrated desktop and enterprise R&D informatics offerings, including software, content, systems and services essential to critical R&D activities in the life sciences, chemicals and energy industries
  
• Expanded market presence consisting of long-standing relationships with over 1,000 customers and approximately 50,000 users
  
• Expanded, global sales, marketing, distribution and customer support infrastructure
  
• Deep technical expertise to advance MDL''s industry-leading informatics, database and workflow solutions to meet customer needs

The combined Symyx and MDL offerings would create the most complete set of solutions available to enhance the efficiency and productivity of R&D in the technology sector.

Santa Clara-based Symyx provides electronic lab notebook (ELN), automation and scientific decision-support software, automated lab systems (workflows) and collaborative research services to improve R&D productivity.

MDL, based in San Ramon, California, provides technical R&D software solutions to more than 1,000 life sciences companies. MDL''s integrated informatics and content solutions for discovery chemistry and biology include its ISIS and Isentris platforms, and such industry standards as MDL Draw, MDL Direct, Available Chemicals Directory (ACD) and DiscoveryGate.

With this solution set, Symyx will be able to accelerate its customers'' move toward paperless labs by integrating content, collaborative desktops, automation and information management for users, workgroups and the enterprise.

Isy Goldwasser, Symyx''s Chief Executive Officer, said, "MDL is an ideal strategic complement to our existing businesses, as our market leadership in Tools and Research Services will now be joined by expanded offerings in a substantially strengthened Symyx Software business. These complementary offerings address a growing market trend, as R&D methods across all industries are undergoing dramatic change.

"Scientists are increasingly recognizing the essential role that informatics, database and workflow solutions play in more effectively managing research programs and driving higher productivity. The acquisition of MDL will position Symyx as a global leader in providing these solutions, and we believe our value proposition to customers will be stronger as a result.

"The addition of MDL is also consistent with our ongoing efforts to drive enhanced shareholder value. On a pro forma basis in 2008, we expect Symyx and MDL combined software and database operations to reach approximately $100 million in revenues, much of it recurring, and for this transaction to be accretive.

"More broadly, this transaction underscores our commitment to invest in those parts of the business which we believe will help us to build predictable, recurring revenue streams over time. With ongoing investments in sales and marketing and reinvigorated leadership, Symyx is well-positioned to maximise MDL''s value to our customers and its strategic value to our Company."

The transaction is expected to close during the fourth quarter of 2007 and is subject to customary closing conditions and documentation, including clearance under applicable antitrust laws.
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