Authoriszor Inc. Announces Investment by Investment Group in Authoriszor Holdings Limited.

Business Editors

LEEDS, United Kingdom--(BUSINESS WIRE)--Aug. 2, 2002

Authoriszor Inc. (OTCBB: AUTH.OB) announced that a group of investors have completed the purchase of shares of Authoriszor Holdings Limited, formerly a wholly-owned subsidiary of Authoriszor Inc., for an aggregate purchase price of (pound)574,999.94 ($902,684.56).

Following this transaction and certain related transactions, Authoriszor Holdings Limited owns all of the capital stock of WRDC Limited, Authoriszor Ltd., Logsys Limited and, indirectly through WRDC Limited, over 75% of the stock of PAD (London) Limited and WRDC AG.

Garcia J Hanson, the new Chief Executive Officer of Authoriszor Inc. and Authoriszor Holdings Limited, noted that, "as reported in Authoriszor Inc.'s Form 10-QSB for the quarter ended March 31, 2002, in the absence of additional financing Authoriszor Inc. and its subsidiaries would not have sufficient working capital to continue to operate substantially beyond the end of its fiscal year, June 30, 2002, which would result in severe curtailment of the operations of Authoriszor Inc. and its subsidiaries." Mr. Hanson further stated that "the management believes that this financing transaction provides Authoriszor Holdings Limited sufficient working capital to continue operations for the remainder of the calendar year and enhances the ability of Authoriszor Inc. to meet its obligation to its creditors." Mr Hanson, who is a participant in the investment group, also stated that "there has been no appetite for investment in Authoriszor Inc. directly because of the economic climate facing IT companies and the track record of Authoriszor Inc. in achieving any meaningful revenues in the security product space. This investment in AHL, which through its subsidiaries provides technology consulting services, is crucial and most viable for our future; we are fortunate to be able to conclude it given the sentiments of the market. "

As a result of this agreement, Authoriszor's equity interest in Authoriszor Holdings Limited has decreased from 100% to 35%.

Authoriszor Inc. will be filing a Form 8-K with the Securities and Exchange Commission with respect to this transaction and the related transactions.

This press release contains forward-looking statements. Actual results may differ materially from those projected in the forward-looking statements. These statements are based on current expectations of Authoriszor Inc. and Authoriszor Holdings Limited and its subsidiaries and are subject to risks and uncertainties that may cause actual results to be materially different from those that may be implied by such forward-looking statements contained in this press release. Important factors that could result in such differences include: general economic conditions in the Company's markets; those factors identified in Authoriszor's Form 10-KSB, dated October 19, 2001, as amended by the Form 10-KSB/A, dated November 7, 2001, including without limitation, those factors identified as risk factors in Authoriszor's Prospectus, dated May 19, 2000, as supplemented; those factors identified in the Form 10-QSB for the quarter ended March 31, 2002; those factors identified in subsequent filings with the Securities and Exchange Commission and other factors that may affect business generally.