Aeroquest International Limited

Aeroquest International Limited

January 17, 2008 08:39 ET

Aeroquest International Announces $20 Million Bought Deal Offering

MISSISSAUGA, ONTARIO--(Marketwire - Jan. 17, 2008) -


Attention Business/Financial Editors and Reporters:

Aeroquest International Limited (TSX VENTURE:AQL) announces that it has entered into an agreement with Jennings Capital Inc. and a syndicate of underwriters including J.F. Mackie and Company Ltd. and National Bank Financial pursuant to which the underwriters have agreed to purchase from Aeroquest, on a "bought deal" basis, an aggregate of 6,666,667 common shares at a price of $3.00 per share, for gross proceeds to Aeroquest of $20 million. Aeroquest has agreed to grant the underwriters an over-allotment to purchase an additional 1 million common shares (15% of offering) at the issue price of $3.00 per share, which option shall be exercisable for 30 days following the closing of the offering to cover over-allotments and for market stabilization purposes.

In connection with the offering, Aeroquest will file a short form prospectus in each of the provinces of Canada other than Quebec. The offering is expected to close on or about February 5, 2008. The transaction is subject to the receipt of all necessary regulatory approvals, including the acceptance and approval of the TSX Venture Exchange. The net proceeds from the offering will be used to repay notes issued in connection with Aeroquest's previously completed acquisition of UTS Geophysics and Geophex Ltd, for general working capital, and to fund continued growth.

The securities being offered have not been, nor will they be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from U.S. registration requirements. This release does not constitute an offer for sale of securities in the United States.

About Aeroquest International

Aeroquest International is a global information and technology services company and a leader in the development and operation of innovative and proprietary geophysical surveying platforms for the mineral and petroleum exploration, and environmental services industries. Directly, and through its sister companies UTS Geophysics and Geophex, Aeroquest fields a fleet of over two dozen helicopter and fixed wing systems and is active across the world. More information about Aeroquest can be found at More information on UTS Geophysics can be found at More information on Geophex can be found at

For Investors

This news release may include statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. The Company cautions that actual performance will be affected by a number of factors, many of which are beyond its control. Future events and results may vary substantially from what the Company currently foresees. Discussion of the various factors that may affect future results is contained in the Company's recent filings, available on SEDAR.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

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