Bottomline Technologies Acquires Payables Automation Provider
Tranmit Acquisition Extends Company's Accounts Payable Automation Offerings

PORTSMOUTH, NH – January 24, 2006 – Bottomline Technologies (NASDAQ: EPAY), a leading provider of payments and invoice automation software and services, today announced that it has completed the acquisition of UK-based Tranmit Plc, a provider of Web-based purchase-to-pay automation solutions.

The addition of Tranmit's invoice management capabilities further enhances the company's ability to provide global organizations with comprehensive hosted, licensed and outsourced solutions for improving the overall efficiency and productivity of the accounts payable function. Among the more than 100 organizations Bottomline has added to its customer base as a result of the acquisition are DHL, Dow Chemical, British Petroleum, Sony Music and Random House.

"Through the extension of our product offering upstream of the payments process, we have enhanced our ability to drive customer value for new and existing customers," said Joe Mullen, CEO of Bottomline Technologies. "Bottomline's innovative software and services for purchase-to-pay automation offer these organizations an array of flexible options for configuring the best solution to meet their needs today and into the future."

Tranmit's modular purchase-to-pay solution integrates with existing finance, ERP and purchasing systems. The company's product suite, which will be integrated with Bottomline's payment platforms, manages and automates transactions, both paper-based and electronic, from requisitioning, purchasing and receiving to invoice matching and approval for payment.

"I believe the combination of our product offering with Bottomline's vision and solutions for end-to-end automation of accounts payable processes creates a powerful force in the marketplace," said Shane Hussain, CEO of Tranmit. "Improving the efficiency of the purchase-to-pay cycle will continue to be an important strategic objective for businesses and we look forward to helping customers achieve that goal as a part of Bottomline."

The Tranmit acquisition is valued at approximately $9 million (U.S.) in cash and stock.

About Bottomline Technologies
Bottomline Technologies (NASDAQ: EPAY) provides collaborative payment, invoice and document automation solutions to corporations, financial institutions and banks around the world. The company’s solutions are used to streamline, automate and manage processes involving payments, invoicing, global cash management, supply chain finance and transactional documents. Organizations trust these solutions to meet their needs for cost reduction, competitive differentiation and optimization of working capital. Headquartered in the United States, Bottomline also maintains offices in Europe and Asia-Pacific. For more information, visit www.bottomline.com.

Bottomline Technologies and the BT logo are trademarks of Bottomline Technologies, Inc. which may be registered in certain jurisdictions. All other brand/product names are trademarks of their respective holders.

Cautionary Language
Any statements in this press release about future expectations, plans and prospects for the Company, including statements about the anticipated benefits of the acquisition of Tranmit and other statements containing the words “believes,” “anticipates,” “plans,” “expects,” and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including: market demand, technological change, general economic conditions and other factors discussed in our most recent quarterly report filed with the SEC. In addition, the forward-looking statements included in this press release represent the Company’s views as of the date of this release. The Company anticipates that subsequent events and developments will cause the Company’s views to change. However, while the Company may elect to update these forward-looking statements at some point in the future, the Company specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing the Company’s views as of any date subsequent to the date of this release.

Company Contact:
Kevin Donovan
Bottomline Technologies
603.501.5240
kdonovan@bottomline.com

Bottomline Technologies Acquires Payables Automation ProviderTranmit Acquisition Extends Company's Accounts Payable Automation Offerings

Bottomline Technologies Acquires Payables Automation Provider
Tranmit Acquisition Extends Company's Accounts Payable Automation Offerings