American Electromedics Signs Merger Agreement with Equidyne
          Systems Inc., Developer of New "Needle-Free Injector" Delivery
          Technology


          April 1, 1998 03:30 PM

          AMHERST, N.H.--(BUSINESS WIRE)--April 1, 1998--



          Patented, FDA Approved Technology Addresses Estimated $2 Billion
          Annual Market
                                                                          

          American Electromedics Corporation ('AMER') and its President,
          Michael Pieniazek, announced today that it has signed a merger
          agreement to acquire Equidyne Systems Inc., a developer of
          medical products based in San Diego, Calif. Upon completion of
          the merger, AMER will issue approximately 600,000 shares of its
          common stock to the shareholders of Equidyne. The merger is
          expected to be completed during the second calendar quarter of
          1998 and the closing is contingent upon the completion of due
          diligence, and obtaining all necessary consents and other
          customary closing conditions. 

          Equidyne Systems Inc. is a development company that owns a
          patented product for needle-free drug  injection which features a
          lightweight, portable injector pen with a disposable medication
          ampule. The product is designed to replace a standard needle
          syringe. Equidyne has received FDA 510(k) market clearance
          approval. This new and innovative technology is designed to
          provide an effective, economical, safe and essentially pain-free
          injection method. Equidyne expects to be able to deliver
          commercial quantities of the product by late 1998. All key
          managers are expected to sign long-term employment
          agreements with AMER.

          Michael Pieniazek, president of AMER stated, "This merger will
          give AMER a patented, new technology to add to its portfolio of
          medically related product offerings. The "needleless needle"
          addresses an enormous market opportunity in a time when
          infectious disease and inadvertent contamination are major
          issues."

          Equidyne's core technology can be used for many different drug
          delivery regiments and allows for needle-free injection into
          either the subcutaneous or intra-muscular tissue. There are many
          uses for this product including the physician's office, hospital
          and clinics, vaccine inoculations and self administered
          injections by people with diabetes, allergies and other ailments.

          AMER currently develops, manufactures and markets intraoral
          dental camera systems and other diagnostic audiometric medical
          devices in the United States and worldwide. The company is
          committed to brining to the medical community products and
          superiority.

           This press release contains forward looking formation based upon
          current expectations that include a number of business risks and
          uncertainties. The factors that could cause results to differ
          materially include the following: delays in closing the merger or
          termination of the Merger Agreement, lack of market acceptance of
          the Equidyne technology, need for additional financing to exploit
          the Equidyne products, technological innovations by competitors
          and changes in regulatory approvals.