Tranzeo Wireless Technologies Inc.
TSX : TZT

Tranzeo Wireless Technologies Inc.

December 24, 2009 09:04 ET

Tranzeo Closes Bought Deal Offering of Common Shares

Over-Allotment Option Exercised in Full

PITT MEADOWS, BRITISH COLUMBIA--(Marketwire - Dec. 24, 2009) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Tranzeo Wireless Technologies Inc. (TSX:TZT) ("Tranzeo") announces today that it has completed its previously announced bought deal prospectus offering of common shares (the "Shares"). The Company issued 6,900,000 Shares at a price of $1.00 per Share for total gross proceeds of $6,900,000 (the "Offering"). The Offering was completed by a syndicate of underwriters led by Canaccord Financial Ltd. and including Dundee Securities Corporation (the "Underwriters"). The 6,900,000 Shares issued includes 900,000 Shares issued pursuant to the exercise of an over-allotment option granted to the Underwriters, which was exercised in full.

Tranzeo paid the Underwriters a cash commission of 6% and granted the Underwriters warrants equal to 6% of the total number of Shares subscribed for under the Offering. Each Underwriters' warrant is exercisable at a price of $1.00 per Share at any time on or before December 24, 2011.

The Company will use the net proceeds of the Offering to reduce debt and for general working capital purposes.

These securities have not been registered under the Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States without registration or an applicable exemption from applicable registration requirements in the US. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful.

Tranzeo and the Tranzeo logo are registered trademarks of Tranzeo Wireless Technologies Inc.

For additional details on Tranzeo, please visit www.tranzeo.com or contact Investor Relations.

Forward Looking Statements

This press release may contain forward-looking statements that involve risks and uncertainties. These forward-looking statements relate to, among other things, plans for the use of the net proceeds from the Offering. These statements reflect our current expectations and are subject to a number of risks and uncertainties, including, but not limited to, changes in our financial position or operations, changes in technology, and changes in the wireless data communications market.

The TSX does not accept any responsibility for the adequacy or accuracy of this press release.

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