Vancouver, BC, January 27, 2006--Contec Innovations announced the completion of its private placement offering, originally announced November 23, 2005, of 1,900,000 units at C$0.175 per Unit for gross proceeds of C$332,500. Such Units are subject to a four-month hold period expiring May 27, 2006.
Each Unit consisted of one common share and one half of a non-transferable share purchase warrant (the "Warrants") where each full Warrant will allow the subscriber to purchase an additional share at C$0.25 until the earlier of: (i) one year from issuance of the warrant; and (ii) the date which is the later of: (A) 30 days following the issuance of a press release by the Company confirming that the closing price of the common shares of the Company on the TSX Venture Exchange exceeded C$0.40 for 10 consecutive trading days and the aggregate number of common shares of the Company traded during that period was not less than 2,500,000 shares; and (B) four months and one day from the date of issuance of the warrant. A finder's fee of C$4,000 cash was paid in relation to this financing.
About Contec Innovations
Contec accelerates the growth of the mobile Internet by enabling mobile service providers to capitalize on new data services. Contec's core product, the Hornet(TM), is an open, carrier-class mobile services delivery platform capable of hosting multiple mobile applications in a secure, scalable environment allowing service providers to generate new revenues by efficiently deploying reliable and compelling data applications. Founded in 1999 and headquartered in Vancouver, Canada, Contec is listed on the TSX Venture Exchange under the symbol "BUZ". For more information, visit www.contec.ca.
The statement made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations. Hornet(TM) is a trademark of Contec Innovations Inc.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of the content of the information contained herein.
Contact:
Brian Buckley
Contec Innovations Inc.
Investor Relations
(604) 468-5638 or 1-888-552-0360
brian.buckley@contec.ca
Asa Zanatta
Contec Innovations Inc.
Media Relations
(604) 408-1389
azanatta@spiritcommunications.ca
www.contec.ca