Ontario Hose Specialties Inc.

Ontario Hose Specialties Inc.

May 29, 2006 16:30 ET

Ontario Hose Completes $1.5 Million Private Placement

TORONTO, ONTARIO--(CCNMatthews - May 29, 2006) - Ontario Hose Specialties Inc. (TSX VENTURE:OHS) announces that it has completed its previously announced financing for proceeds of $1,500,000. The Company has issued 30,000,000 units at a price of $0.05 per unit. Each unit was comprised of one common share of the Company and one common share purchase warrant. Each warrant entitles the holder to acquire an additional common share at a price of $0.10 per share for a period of two years. Proceeds of the placement will be used to enhance shareholder value as previously disclosed by the Company in its press release of February 3, 2006. The units and any shares issued on the exercise of the warrants are subject to restrictions on resale until September 30, 2006.

Paul Kraik, Chairman and President, purchased 100,000 units in the financing on identical terms as the other subscribers.

Shares Outstanding: 32,566,033

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

Contact Information

  • Ontario Hose Specialties Inc.
    Newell P. Kraik
    (905) 670-0113
    (905) 670-4953 (FAX)