R Systems to Acquire Sento Europe

R Systems International Ltd has informed that the Board of Directors of the Company at its meeting held on December 27, 2007, has approved the acquisition of Sento Europe B.V., a Netherlands corporation and Sento S.A.S., a French corporation (collectively known as Sento Europe) from Sento Corporation, USA. The transaction is subject to contracts and corporate and regulatory approvals and it is anticipated that the transaction will be completed before January 15, 2008.

In this regard the Company has issued the following Press Release:

"R Systems International Ltd. (NSE: RSYSTEMS) one of the leading providers of outsourced product development, and technical and customer support services, on December 27, 2007 announced that its board approved the acquisition of Sento Europe B.V., a Netherlands corporation and Sento S.A.S., a French corporation (collectively known as Sento Europe) from Sento Corporation, USA. The transaction is subject to Sento board approval, execution of definitive agreements and corporate and regulatory approvals and it is anticipated that the acquisition will be completed before January 15, 2008.

Sento Europe with operations in Enschede, Netherlands and Metz, France provides a wide range of integrated technical support and customer care services through multiple channels in 16 European languages. Sento Europe primarily focuses on the technology sector and amongst its clients are the world's leading consumer electronic companies. Sento Europe achieved revenues of approximately US$ 14.85 million during the year ended March 2007.

"We are pleased to announce approval of the Board of Directors for the acquisition of Sento Europe. The combination will strategically compliment our iPLM business with a strong base in Europe, extend the breadth and depth of our offering, and will be accretive to our earnings in FY 2008," said Rekhi Singh, CEO of R System. "We look forward to the employees and clients of Sento Europe joining R Systems' family upon completion".