Valencia Ventures Inc.
TSX VENTURE : VVI

Valencia Ventures Inc.

November 25, 2009 07:30 ET

Valencia Closes Private Placement Financing

TORONTO, ONTARIO--(Marketwire - Nov. 25, 2009) -

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH U.S. NEWSWIRE SERVICES

Valencia Ventures Inc. (TSX VENTURE:VVI) ("Valencia", or the "Company") is pleased to announce that the Company has completed its previously announced private placement financing of units ("Units") of the Company for gross proceeds of $1,400,000 through the issuance of 20,000,000 Units at a price of $0.07 per Unit. Each unit is comprised of one common share of the Company and one common share purchase warrant (a "Warrant"). Each Warrant entitles the holder to acquire one common share of the Company at a price of $0.10 until November 25, 2011.

The Company intends to use net proceeds from the financing in connection with the strategic review of its business and for working capital purposes.

In connection with the financing, the Corporation has paid finders fees in the form of a cash commission totalling $109,200 and has issued 1,950,000 broker warrants. Each broker warrant entitles the holder to acquire one Unit at a price of $0.07 until November 25, 2011.

The common shares (and the common shares issuable upon the exercise of the Warrants) are subject to resale restrictions that expire on March 26, 2010. Closing of the financing remains subject to receipt of all regulatory approvals, including final approval of the TSX Venture Exchange.

For additional information, e-mail info@valenciaventures.com.

Forward Looking Statements

Except for statements of historical fact relating to the Company, certain information contained herein constitutes ''forward-looking information'' under Canadian securities legislation. Forward-looking information includes, but is not limited to, statements with respect to the terms of the financing, regulatory approval of the financing, outcome of the strategic review, and the planned use of proceeds. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to risks described in the public record of the Company posted under the profile of the Company on SEDAR at www.sedar.com. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to sell 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.

NEITHER THE 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.

Contact Information