Synodon Inc.
TSX VENTURE : SYD

Synodon Inc.

October 13, 2009 13:40 ET

Synodon Closes $2,229,502 From Private Placement, Issues Options

EDMONTON, ALBERTA--(Marketwire - Oct. 13, 2009) - Synodon Inc. ("Synodon") (TSX VENTURE:SYD), a developer of advanced remote sensing technologies, announces that on October 9, 2009 it closed a tranche of its non-brokered private placement for gross cash proceeds of $2,229,502. The closing was comprised of 4,954,449 "Units" at $0.45 per Unit. The Units are comprised of one Class A common share and a half of a Class A common share purchase warrant (the "Warrants"). Each whole Warrant entitles the holder to purchase one Class A common share of the Corporation at a price of $0.75 per share for a period of two years, expiring October 9, 2011.

The Warrants are subject to an acceleration right, such that if the closing price of the common shares is greater than $1.05 on any day subsequent to October 9, 2009, Synodon may give notice to the holders of the Warrants that the expiry date for exercise has been accelerated and the Warrants will expire on the thirtieth business day following the date of such notice.

The common shares and Warrants issued pursuant to the private placement are subject to a four month statutory hold period which expires on February 10, 2010. The Corporation issued 299,880 Warrants and paid cash finder's fees totaling $136,827 in connection with the sale of the Units.

The proceeds will be used by Synodon for working capital and for debt repayment.

The Company intends to close an additional tranche of the current private placement in late October of 2009.

The Corporation also issued 50,000 incentive options ("Options"), to a Director of the Corporation, to purchase common shares, exercisable at $0.61 per Option. The Options have been issued pursuant to Synodon's Share Option Plan and vest immediately.

Synodon Inc. (www.synodon.com) is an Edmonton based technology company which has developed and demonstrated an advanced airborne remote gas sensing system called realSensTM, based on technologies developed under the Canadian Space Program and by Synodon scientists. The company will provide gas emissions monitoring and quantification services to a variety of industries, including hydrocarbon (oil and gas), environmental, agricultural and for a variety of gases including methane, ethane and ammonia. The initial focus is on the hydrocarbon industry and in particular the natural gas pipeline sector.

Forward-Looking Statements 

Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors disclosed under the heading "Risks Relating to the Business", specifically in the "Additional Financing" section, and elsewhere in the Company's periodic filings with Canadian securities regulators. Such information contained herein represents management's best judgment as of the date hereof based on information currently available.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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