Urbanfund Corp.
TSX VENTURE : UFC

October 17, 2007 15:04 ET

Urbanfund Corp. Announces $10 Million Brokered Private Placement

TORONTO, ONTARIO--(Marketwire - Oct. 17, 2007) -

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

Urbanfund Corp. (TSX VENTURE:UFC) ("Urbanfund") announced today that it has entered into an agreement with a syndicate of agents led by Blackmont Capital Inc. and including M Partners Inc. and Dundee Securities Corporation (the "Agents"), pursuant to which the Agents will arrange for purchasers of Urbanfund common shares (the "Common Shares") on a best efforts, private placement basis for gross proceeds of up to $10,000,000 (the "Offering"). The pricing of the Common Shares will be determined by the Agents and Urbanfund in the context of the market.

The Offering is anticipated to close on or about November 14, 2007. The Common Shares will be subject to resale restrictions for a period of four months from the closing date under applicable securities legislation. Completion of the Offering will be subject to a number of conditions including the approval of the TSX Venture Exchange. Urbanfund intends to use the net proceeds of the Offering to acquire North Front Centre in Belleville, Ontario and Wonderland Plaza in London, Ontario and for working capital and general corporate purposes (the "Proposed Acquisitions"). The closing of the Offering is not conditional upon the closing of the Proposed Acquisitions and there can be no assurance that Urbanfund will close these acquisitions.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Forward Looking Statements

This press release contains forward-looking statements based on assumptions, uncertainties and management's best estimates of future events. When used herein, words such as "intend" and similar expressions are intended to identify forward-looking statements. Forward-looking statements are based on assumptions by and information available to Urbanfund. Investors are cautioned that such forward-looking statements involve risks and uncertainties. Important factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include such risks and factors as are detailed from time to time in Urbanfund's periodic reports filed with the Ontario Securities Commission and other regulatory authorities. Actual results may differ materially from those currently anticipated. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included herein are made as of the date hereof and Urbanfund does not undertake any obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise.

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

Contact Information

  • Urbanfund Corp.
    Mr. Mitchell Cohen
    President and Chief Executive Officer
    (416) 361-5000 ext. 225
    or
    Urbanfund Corp.
    Mr. Steve Isenberg
    Director
    (416) 603-4343