Authentidate Holding Corp. Prices $4.045 Million Public Offering and Reaches Definitive Agreements for the Cancellation of $6.5

Authentidate Holding Corp. Prices $4.045 Million Public Offering and Reaches
Definitive Agreements for the Cancellation of $6.5 Million of Senior Notes

BERKELEY HEIGHTS, N.J., June 12, 2013 (GLOBE NEWSWIRE) -- Authentidate Holding
Corp. (Nasdaq:ADAT), a provider of secure web-based software applications and
telehealth products and services for healthcare organizations, announced today
that it has priced an underwritten public offering of 4,257,895 units at a
price to the public of $0.95 per unit, resulting in gross proceeds of
approximately $4.045 million. Each unit consists of one share of common stock
and one warrant to purchase one share of common stock at an exercise price of
$0.95 per share. Net proceeds, after underwriting discount and other estimated
fees and expenses payable by the company, are expected to be approximately
$3.6 million. 

The offering is expected to close on or about June 17, 2013, subject to
satisfaction of customary closing conditions. Authentidate has granted the
underwriters a forty-five (45) day option to purchase up to 425,790 additional
shares and additional warrants to purchase up to 425,790 shares to cover
over-allotments, if any.J.P. Turner & Company, LLC is acting as the sole
underwriter for the proposed offering.

The securities described above are being offered by Authentidate pursuant to a
shelf registration statement that was previously filed with and declared
effective by the Securities and Exchange Commission (SEC). A preliminary
prospectus supplement related to the offering was filed with the SEC on June
4, 2013. A final prospectus supplement relating to the offering will be filed
with the SEC. Electronic copies of the prospectus supplement and accompanying
prospectus can be obtained through the website of the SEC at www.sec.gov. When
available, copies of the final prospectus supplement and the accompanying
prospectus relating to this offering may be obtained from J.P. Turner &
Company, LLC, Attention: Jeffrey Johnson, by telephone at (404) 479-8300, or
by email at jjohnson@jpturner.com. 

Authentidate also announced today that it has entered into definitive
agreements with a number of holders of its outstanding senior notes and other
investors to issue an aggregate of $6,650,000 of new shares of convertible
preferred stock and warrants to purchase an aggregate of 6,650,000 shares of
common stock in consideration of the cancellation of $6,500,000 of senior
notes and $150,000 in additional cash proceeds. The shares of preferred stock,
to be designated as Series D Preferred Stock, will be initially convertible
into an aggregate of 6,125,024 shares of common stock at the initial
conversion rate of $1.08571 per share, subject to adjustment solely in the
event of stock dividends, combinations, splits, recapitalizations, and similar
events. The warrants are exercisable at $0.95 per share for a period of 54
months commencing on the six month anniversary of the closing date. After the
closing, an aggregate principal amount of $850,000 of senior notes will remain
outstanding, which will be due and payable on October 31, 2013. 

The shares of Series D Preferred Stock and related warrants were offered and
sold in a private placement under the Securities Act of 1933, as amended (the
"Securities Act") and the regulations promulgated thereunder. Such securities
were offered and sold only to accredited investors and have not been
registered under the Securities Act or applicable state securities laws.
Accordingly, such securities may not be offered or sold in the United States
except pursuant to an effective registration statement or an applicable
exemption from the registration requirements of the Securities Act and such
applicable state securities laws.

The investors that surrendered senior notes in this transaction included
Authentidate's largest stockholder, Lazarus Investment Partners LLLP as well
as affiliates of Mr.J. David Luce, an Authentidate board member,
Mr.O'Connell Benjamin, the company's Chief Executive Officer and a board
member, and Mr.William Marshall, Chief Financial Officer of Authentidate.
Further, one of our directors, Dr. Todd Borus, agreed to purchase an aggregate
of $25,000 of shares of Series D Preferred Stock and 25,000 warrants.

This press release does not constitute an offer to sell or a solicitation of
an offer to buy the securities in either the public or private offering, nor
shall there be any sale of these securities in any state or other jurisdiction
in which such offer, solicitation or sale would be unlawful prior to the
registration or qualification under the securities laws of any such state or
other jurisdiction.

About Authentidate Holding Corp.

Authentidate Holding Corp. is a provider of secure web-based software
applications and telehealth products and services that enable healthcare
organizations to coordinate care for patients and enhance related
administrative and clinical workflows. Authentidate's products and services
enable healthcare organizations to increase revenues, reduce costs and enhance
patient care by eliminating paper and manual work steps from clinical and
administrative processes. Authentidate's telehealth solutions combine patient
vital signs monitoring with a web application that streamlines patient care
management. Delivered as Software as a Service (SaaS), customers only require
an Internet connection and web browser to access our web-based applications
thereby utilizing previous investments in systems and technology. The
company's healthcare customers and users include leading homecare companies,
health systems, physician groups and governmental entities. These
organizations utilize the company's products and services to coordinate care
for patients outside of acute-care.

For more information, visit the company's website at www.authentidate.com

This press release contains forward-looking statements within the meaning of
section 27A of the Securities Act of 1933 and section 21E of the Securities
Act of 1934. When used in this release, the words "believe," "anticipate,"
"think," "intend," "plan," "will be," "expect," and similar expressions
identify such forward-looking statements. Such statements regarding future
events and/or the future financial performance of the company are subject to
certain risks and uncertainties, which could cause actual events or the actual
future results of the company to differ materially from any forward-looking
statement. Such risks and uncertainties include, among other things, the
availability of any needed financing, the company's ability to implement its
business plan for various applications of its technologies, the impact of
competition, the management of growth, and the other risks and uncertainties
that may be detailed from time to time in the company's reports filed with the
Securities and Exchange Commission. In light of the significant risks and
uncertainties inherent in the forward-looking statements included herein, the
inclusion of such statements should not be regarded as a representation by the
company or any other person that the objectives and plans of the company will
be achieved.

Authentidate and Inscrybe are registered trademarks of Authentidate Holding
Corp. All other trade names are the property of their respective owners.

CONTACT: Investor Contacts:
         Robert Schatz
         Wolfe Axelrod Weinberger Assoc. LLC
         (212) 370-4500; (212) 370-4505 fax
 
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