Zix Acquires Entelligence Messaging Server Business to Strengthen Its Industry-Leading Email Encryption Solutions

The acquisition of Entelligence Messaging Server technology
from Entrust Datacard expands Zix’s email encryption capabilities
and delivery methods


DALLAS & MINNEAPOLIS–(BUSINESS WIRE)–#emailencryptionZix
Corporation
(Zix), (Nasdaq: ZIXI), a leader in email security,
today announced that the company has acquired the Entelligence Messaging
Server (EMS) technology, an email encryption solution, and the related
business from Entrust
Datacard
, a leading provider of trusted identity and secure
transaction technology solutions. The EMS acquisition strengthens Zix’s
email encryption capabilities, demonstrating the company’s ongoing
commitment to deliver the industry’s premier email encryption solutions.

“Zix continues to evolve our solutions to better serve our customers and
meet their needs. The acquisition of the Entelligence Messaging Server
business builds on our strength as the leader in email encryption and
allows us to accelerate our product roadmap,” said Dave
Wagner
, chief executive officer of Zix. “We’re excited to unveil new
capabilities for our customers, deliver outstanding service to EMS
customers and introduce our more robust email encryption solutions.”

EMS offers rich enterprise-centric capabilities and delivery methods,
such as advanced message tracking, PDF statement delivery, high
availability on-premises architecture and standards-based end-to-end
encryption. Zix will continue to invest in and support EMS, as well as
incorporate its features into its policy-based email encryption solution ZixEncryptSM.

To ensure a smooth transition and to best meet customer needs, Zix and
Entrust Datacard have established an ongoing working relationship, and
the companies have implemented a transition agreement to mitigate any
post-close service disruption to customers. As part of the ongoing
relationship between the companies, Entrust Datacard will become a Zix
value added reseller, enabling Entrust Datacard to serve its customers’
email security needs with EMS and other Zix solutions.

“Choosing to migrate our Entelligence Messaging Server business to Zix
will provide our customers with access to the latest innovations in the
secure email market while continuing to benefit from Entrust Datacard’s
core security technologies via our ongoing relationship,” said Todd
Wilkinson, president and CEO for Entrust Datacard. “Zix is the right
partner for this transaction as they are a leader in email encryption,
and given their reputation for delivering exceptional customer support,
I’m confident our customers will recognize the value and protection in
working with Zix for their email security needs.”

Zix currently expects the transaction to have no material impact on
revenue, new first year orders or EPS.

About Entrust Datacard

Consumers, citizens and employees increasingly expect anywhere-anytime
experiences — whether they are making purchases, crossing borders,
accessing e-gov services or logging onto corporate networks. Entrust
Datacard offers the trusted identity and secure transaction technologies
that make those experiences reliable and secure. Solutions range from
the physical world of financial cards, passports and ID cards to the
digital realm of authentication, certificates and secure communications.
With more than 2,000 Entrust Datacard colleagues around the world, and a
network of strong global partners, the company serves customers in 150
countries worldwide. For more information, visit www.entrustdatacard.com.

About Zix Corporation

Zix Corporation (Zix) is a leader in email security. Trusted by the
nation’s most influential institutions in healthcare, finance and
government, Zix delivers a superior experience and easy-to-use solutions
for email encryption and data loss prevention, advanced threat
protection, archiving and bring your own device (BYOD) mobile security.
Focusing on the protection of business communication, Zix enables its
customers to better secure data and meet compliance needs. Zix is
publicly traded on the Nasdaq Global Market under the symbol ZIXI. For
more information, visit zixcorp.com.

Statements in this release that are not purely historical facts or that
necessarily depend upon future events, including statements about
forecasts of sales, revenue or earnings, potential benefits of strategic
relationships, or other statements about anticipations, beliefs,
expectations, hopes, intentions or strategies for the future, may be
forward-looking statements within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended. Readers are cautioned not
to place undue reliance on forward-looking statements. All
forward-looking statements are based upon information available to Zix
on the date this release was issued. Zix undertakes no obligation to
publicly update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise. Any
forward-looking statements involve risks and uncertainties that could
cause actual events or results to differ materially from the events or
results described in the forward-looking statements, including risks or
uncertainties related to market acceptance of new Zix solutions and how
privacy and data security laws may affect demand for Zix email data
protection solutions. Zix may not succeed in addressing these and other
risks. Further information regarding factors that could affect Zix
financial and other results can be found in the risk factors section of
Zix’s most recent filing on Form 10-K with the Securities and Exchange
Commission.

Contacts

Zix
Company Contact
Taylor Johnson, 214-370-2134
tjohnson@zixcorp.com
or
Investor
Contact

Liolios Group, Inc.
Matt Glover and Najim
Mostamand, 949-574-3860
ZIXI@liolios.com
or
Entrust
Datacard

Heather Morris, 952-988-1745
Heather.Morris@entrustdatacard.com