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Subject: OASIS MEMBER NEWS: SoftQuad To Acquire ADEi,A Leading Provider Of XML Content Transformation Solutions


NEWS RELEASE

SoftQuad To Acquire ADEi, A Leading Provider Of XML Content Transformation
Solutions
Acquisition positions SoftQuad as dominant provider of solutions for XML
content creation and exchange

TORONTO, ON - Nov. 16, 2000 - SoftQuad Software, Ltd. (OTC Bulletin Board:
SXML), an internationally recognized developer of XML-enabling technologies
and commerce solutions for e-business, today announced it has signed a
definitive agreement to acquire privately held Advanced Data Engineering,
Inc. (ADEi) of Petaluma, California.  ADEi is a leading provider of content
transformation solutions that enable organizations to convert large volumes
of existing data from multiple sources into XML, the industry standard
co-authored by SoftQuad.

"Structured XML content is the cornerstone of eBusiness application success.
The effective creation of XML content and the transformation of legacy
documents into structured content are key requirements.  The combination of
SoftQuad's premier content creation solution, XMetaL, with ADEi's advanced
content transformation systems, uniquely positions SoftQuad to provide
Global 2000 companies with a complete solution for XML content creation and
transformation," said Roberto Drassinower, CEO of SoftQuad.  "Our enhanced
capabilities allow us to aggressively pursue strategic partnerships with
global systems integrators to capitalize on the market's anticipated broad
deployment of XML solutions."

Addition of Large-Scale Migration Systems Gives SoftQuad Comprehensive
Offering for XML Content Creation and Exchange

As global 2000 companies increasingly embrace high impact e-business
applications to realize  cost savings and drive revenue growth, there has
been a corresponding increase in the adoption of XML technologies.  In
effect, XML is fueling a new phase of Internet development.  To date,
Microsoft, IBM and Oracle have all launched major XML initiatives to
capitalize on growing market opportunities. According to Jupiter
Communications, B2B e-commerce transactions are expected to reach $6.3
trillion by 2005.  By 2004, 40 per cent of all B2B traffic will pass through
an XML server, which is expected to generate over $600 billion in revenues,
according to Zona Research.

SoftQuad's award-winning XMetaL(r), the premier XML content authoring
solution in use by over 2000 customers, enables everyone in an organization
to create original XML content for shared use. The ability to convert
existing content directly into XML is a fundamental requirement for
companies as they migrate their enterprise content infrastructures to XML.
With the ability to transform large volumes of existing documents in formats
such as Word, Quark, Pagemaker and Acrobat (PDF), ADEi's systems solve the
content transformation challenges that many organizations face.
Additionally, ADEi's XML-it Document Markup System, now part of the SoftQuad
content services offering, provides an easy way to transition existing Word
content into XML.  This gives customers total control over their migration
to an XML content infrastructure.

"We are pleased to be joining forces with SoftQuad, the recognized leader of
XML technology," stated Rick Russell, president of ADEi.  "Together, we will
be able to respond to the growing needs of Global 2000 companies and their
suppliers to quickly create XML content and convert existing content into
XML."

XML Expertise, Key Customer Additions and Enhanced Market Presence

ADEi's management team and engineering staff are all expected to join
SoftQuad. Combined, ADEi's team has roughly 75 years of advanced content and
application experience. ADEi has expertise with large-scale content
transformation for global companies such as CCH Inc., WebMD, Law.com, IDG
Publications, Invisible Worlds Medem, and Staywell-Krames. SoftQuad will now
have 105 employees, including ADEi's 12 employees, and a new office in
Petaluma, California, north of San Francisco. SoftQuad plans to maintain
ADEi's facilities in Petaluma as a strategic services, sales and business
development center in close proximity to Silicon Valley.

Acquisition Terms

Under the terms of the transaction, SoftQuad will acquire all of the
outstanding shares of ADEi for approximately 750,000 shares in newly issued
SoftQuad common stock, subject to minor post closing working capital
adjustments.  Further terms and conditions were not disclosed. The
transaction, which is immediately accretive to SoftQuad earnings, has been
approved by the Board of Directors of each company and is expected to close
in November 2000.

KBL Capital Partners Inc. acted as strategic and financial advisor to
SoftQuad Software, Ltd. in its acquisition of ADEi.


About SoftQuad Software, Ltd.

SoftQuad Software, Ltd. (OTC Bulletin Board: SXML) is a founding member of
the World Wide Web Consortium (W3C). The Company co-invented XML technology
and is internationally recognized in the technical community as a developer
and world leader of XML e-enabling technologies to the growing
business-to-business (B2B) Internet infrastructure solutions market.
SoftQuad was first to the content creation market with XMetaL, an advanced
yet easy-to-use XML content creation solution which has already become the
premier enabling technology for XML-based content applications in electronic
publishing, e-commerce and knowledge management. SoftQuad continues to
target the growing B2B marketplace with MarketAgility, a supply-side content
solution that allows companies to effectively join and compete in B2B
e-markets. Awards: XMetaL won the Web Techniques 1999 "Web Authoring Tool of
the Year" Award; it was one of Internet Week's "Best of the Best", winning
the "Most Innovative" in "Best of 1999" awards and it is also one of XML
Journal's "World Class" recommendations for 2000. For more information,
visit SoftQuad's web site at http://www.softquad.com.

About Advanced Data Engineering, Inc

Advanced Data Engineering, Inc. is an Internet services company that
specializes in developing custom information systems. These systems, such as
XML-it, add structure to unstructured content, thereby enabling companies to
publish and exchange information over the Internet or private networks in a
fast, straightforward manner.   ADEi has over 10 years of experience taking
complex unstructured documents, adding structure, designing DTDs, and
schemas and building easy-to-use production systems and editing tools for
the non- technical user.  For more information about ADEi, visit their web
site at
http://www.adei.com.

Caution Concerning Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995.  Words such as
"anticipates", "estimates", "expects", "will", "should", "projects",
"intends", "plans", "believes" and words and terms of similar substance used
in connection with any discussion of future operating or financial
performance identify such forward-looking statements.  Those forward-looking
statements are management's present expectations of future events.  As with
any projection or forecast, they are inherently susceptible to uncertainty
and changes in circumstances, and SoftQuad is under no obligation to (and
expressly disclaims any such obligation to) update or alter its
forward-looking statements whether as a result of such changes, new
information, future events or otherwise.

SoftQuad is an early-stage growth company that operates in a highly
competitive and rapidly changing environment, and its business results are
dependent on numerous factors, including demand for its products and
services, especially its newly introduced MarketAgility product, growth in
the market for XML products, its ability to manage costs, generate revenues
and become profitable, the potential impact of any mergers, acquisitions or
other business combinations, the transition from its past reliance on
revenues from its HoTMetaL (HTML-based) product to its XML-based products,
its ability to meet its future capital requirements, technological
developments, competition from other companies that may have longer
operating histories or greater financial resources, protection of its
intellectual property rights, its ability to attract and retain key
personnel, the resolution of issues concerning commercial activities via the
Internet, including security, reliability, cost, ease of use and access,
government regulation, risks related to international sales and potential
foreign currency exchange fluctuations, political, business and social
conditions in the geographic areas in which it operates and in which its
products are sold, its ability to successfully obtain inclusion of its
common stock on the NASDAQ National Market and other risks detailed from
time to time in periodic reports filed by SoftQuad with the U.S. Securities
and Exchange Commission and other regulatory authorities.  SoftQuad's actual
results could differ materially from management's expectations because of
such factors.

For further information on SoftQuad Software, contact:

Media Contact:
David Terry
ITPR (for SoftQuad Software)
(416) 860-3899 ext. 3607
david@itpr.com

Investor Contact
(800) 773-7317
investorinfo@softquad.com

Analyst Contact
David Lewis
CFO, SoftQuad Software, Ltd.
(416) 544-3001
david.lewis@softquad.com

For further information on ADEi, contact:
Janis Peterson
Tel: 707-794-7000 ext. 19
Fax: 707-794-7009
Janis@adei.com
www.adei.com

SoftQuad and XMetaL are registered trademarks of SoftQuad Software, Ltd.
MarketAgility is a trademark of SoftQuad Software, Ltd.  All other products
or company names mentioned are used for identification purposes only, and
may be trademarks of their respective owners.

Heather Grant
Account Executive
ITPR
214 King Street West, Suite 216
Toronto, ON  M5H 3S6
Tel: (416) 642-6353
Fax: (416)642-6361
Email: Heather@itpr.com



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