NEXSAN TO ACQUIRE SECOND GENERATION ILM

Purchase of Evertrust a key step in company's evolution into a leading ILM solutions vendor

WOODLAND HILLS, Calif., March 22, 2005 - Nexsan Technologies, the pioneer of enterprise ATA/SATA based storage systems, today announced the signing of a definitive agreement to acquire privately held Information Lifecycle Management (ILM) software provider, AESign Evertrust, in a cash and stock deal of an undisclosed amount. The acquisition is scheduled to close the week of March 21, 2005. Nexsan will integrate Evertrust's ILM, content addressed storage (CAS) and compliance capabilities into new systems level products that feature Nexsan's award-winning storage systems. Nexsan will actively continue Evertrust's OEM relationships with leading optical and tape system vendors.

The combination of Nexsan and Evertrust will enable Nexsan to offer an ILM appliance, including scalable low priced disk storage, as a single integrated system. The new ILM product range will enable Nexsan's corporate and governmental customers to meet their long-term disk archive, management, verification and disposition needs, as well as comply with the various rules and regulations governing record retention and destruction.

"Smarter storage isn't a 'nice to have', it's a 'need to have'. If you want to play and win moving forward, you had better be offering storage that helps index, migrate, and manipulate data to put it in the best possible place for an applications' use." said Steve Duplessie, Founder and Senior Analyst with The Enterprise Strategy Group. "This is an excellent step forward for Nexsan."

"We have seen the EMC Centera's activity in the market and believe there is room for a better ILM / CAS turnkey solution that addresses customers' needs to meet new compliance laws on information retention," said Philip Black, CEO of Nexsan. "Our acquisition of a world-leading second-generation ILM solution enhances Nexsan's role as a provider of complete solutions for the channel."

About AESign Evertrust
Evertrust was founded in 2000 to research and develop technology for the authentication and management of digital assets for long-term storage. Evertrust licenses its software technology and services to computer storage vendors looking to deliver solutions that meet the growing government compliance regulations concerning electronic documents in North America and Europe.

About Nexsan Technologies
Nexsan Technologies, headquartered in Woodland Hills, Calif. has changed the way IT managers are storing and protecting corporate data. From the outset, Nexsan has moved to the forefront because it recognized the need for corporate managers to "do more with less." Nexsan was the first to deliver award-winning storage solutions that provide correct-cost pricing, without sacrificing features and performance -- attributes that make good business sense for virtually every size company. Every Nexsan product is a total solution, with unprecedented ease of use, features, performance and reliability, all priced to fit the requirements of IT managers worldwide. For more information, please see the company's website at http://www.nexsan.com.

# # #

Nexsan is a trademark of Nexsan Technologies. AESign Evertrust and Evertrust are trademarks of AESign Evertrust.

Certain statements contained in this press release regarding matters that are not historical fact are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act. Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Such statements include: the successful consummation of Nexsan's acquisition of Evertrust, the future availability of any particular product, Nexsan's ability to integrate and bring to market ILM solutions, Nexsan's future ability to compete in the ILM market and the amount of revenue to be recognized due to Nexsan's marketing and sale of ILM products. The risks that contribute to the uncertain nature of the forward-looking statements include: unforeseen technological, intellectual property, supply or engineering issues; changing customer preferences, and Nexsan's 'ability to successfully integrate the business and technology of Nexsan and Evertrust. However, there are many other risks not listed here that may affect the future business of Nexsan as well as the forward-looking statements contained herein. All forward-looking statements contained in this press release speak only as of the date on which they were made. Nexsan undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.