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LivePerson Completes Acquisition of Kasamba, Inc.

Combined company will provide a platform enabling delivery of trusted expert advice to online consumers

NEW YORK, Oct. 3 / -- LivePerson, Inc., a provider of online conversion solutions, today announced the completion of its acquisition of Kasamba, Inc., a leading online provider of live expert advice delivered to consumers via real-time chat. LivePerson has acquired all of the outstanding capital stock of Kasamba in exchange for approximately 4.1 million shares of LivePerson common stock and $9 million in cash. LivePerson will also assume approximately 624,000 outstanding options as part of the transaction.

Accelerating LivePerson's expansion into the business-to-consumer market, the acquisition extends the value the company delivers to its growing base of business customers through a community that will connect consumers with experts in a broad range of categories. This community can provide a central forum where consumers can interact with experts, existing LivePerson customers and trusted advisors to make more informed online buying decisions.

Kasamba has created one of the world's largest communities of chat-based paid experts, with more than a million monthly site visitors. The acquisition solidifies LivePerson's commitment to expand its global presence as a leader in real-time online solutions, through a direct link with online consumers seeking trusted expert advice.

"We will provide a web destination where consumers can find expert help in real time," said LivePerson CEO Robert LoCascio. "By building an online marketplace where experts can provide trusted advice on a broad range of topics, LivePerson is again redefining the online experience for consumers and our growing customer base of more than 5,000 businesses. We believe this expansion will create a unique value proposition for experts, consumers and our customers."

LivePerson expects the following incremental financial impact to result from this transaction, which is unchanged from the guidance disclosed previously:

o An increase in monthly revenue of approximately $1 million in the
fourth quarter of 2007.

o A decrease in EBITDA (earnings before interest, taxes, depreciation and
amortization) of $0.01 per share in the fourth quarter of 2007.

o A decrease in EPS due primarily to deal-related amortization and
additional stock compensation expense of $0.01-$0.02 in the fourth
quarter of 2007.

LivePerson will issue shares of its common stock to Kasamba's shareholders in a private placement. Such shares will be registered for resale on a Registration Statement on Form S-3.

This release is neither an offer to sell nor a solicitation of offers to purchase common stock of LivePerson. The shares of common stock issued by LivePerson in connection with this transaction will not be registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements.

About LivePerson

LivePerson is a provider of online conversion solutions. Our hosted software enables companies to identify and proactively engage online visitors- increasing sales, satisfaction and loyalty while reducing service costs. Combining web-interaction technology (chat, email and a self-service knowledgebase) with a deep understanding of consumer behavior and industry best practices, LivePerson's Timpani(TM) platform engages the right customer, at the right time, with the right communications channel. This Engagement Marketing platform creates more relevant, compelling and personalized experiences-converting traffic into revenues, and facilitating real-time sales and customer service. More than 5,000 companies including EarthLink, Hewlett- Packard, Microsoft, Qwest and Verizon, rely on LivePerson to help maximize the return on their marketing and e-commerce investments. LivePerson is headquartered in New York City.

About Kasamba

Founded in 1999 by Inon Axel, a physicist, and Arthur Fuhrer, a physician, Kasamba, Inc. is an Israel-based, privately held company, whose last investment round was led by JAL Ventures. Kasamba is a provider of online expert advice, with thousands of registered experts and hundreds of thousands of monthly site visitors.

FCMN Contact:

Source: LivePerson, Inc.

CONTACT: Kevin Kohn of LivePerson, Inc., +1-212-609-4240,

Web site:

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