Virtek Vision International Inc.
TSX : VRK

Virtek Vision International Inc.

January 31, 2007 08:00 ET

Virtek Prices Offering of Common Shares

WATERLOO, ONTARIO--(CCNMatthews - Jan. 31, 2007) -

Not for dissemination in the United States or for distribution to US newswire services

Virtek Vision International Inc. ("Virtek")(TSX:VRK) today announced that it has entered into an agency agreement (the "Agency Agreement") with Paradigm Capital Inc., as lead agent, and Fraser Mackenzie Limited in respect of the offering of common shares contemplated by the preliminary short form prospectus filed on January 12, 2007. Under the terms of the Agency Agreement, the agents will offer up to 4,400,000 common shares at a price of $0.87 per common share. The agents have been granted an over-allotment option for a period of 30 days following the closing of the Offering to arrange for the sale of up to an additional 400,000 common shares at the issue price.

Virtek anticipates filing a final prospectus on January 31, 2007. Closing is currently expected to occur on or about February 7, 2007.

Virtek expects to use the net proceeds from the Offering primarily for general corporate purposes including working capital and strategic acquisitions. The Company has no present agreements or commitments with respect to any acquisitions.

About Virtek

Virtek Vision International Inc. is a leading provider of precision laser-based templating, inspection, marking and engraving products and systems integration solutions. Virtek serves customers in the prefabricated construction, transportation, metalworking, tool and die and mold making industries worldwide. The Company's solutions enable customers to produce their products faster, better and at a lower cost. The majority of Virtek's sales are in the United States and Europe. Virtek maintains offices in Waterloo, Ontario, Canada; Boston, Massachusetts, USA; Ludenscheid and Nurnberg, Germany, Busto Arsizio, Italy and Ebina City, Kanagawa, Japan.

Forward Looking Statements

Closing of the offering is subject to certain conditions, including but not limited to, receipt of all necessary securities regulatory approvals, including the approval of the Toronto Stock Exchange.

Except for historical information provided herein, this press release may contain information and statements of a forward-looking nature concerning the Company, including the completion of the proposed offering of common shares. These statements are based on suppositions and uncertainties as well as on management's best possible evaluation of future events. Such factors may include, without excluding other considerations, fluctuations in quarterly results, evolution in customer demand for the Company's products and services, the impact of price pressures exerted by competitors, and general market trends or economic changes. As a result, readers are advised that actual results may differ from expected results.

This press release does not constitute an offer of the securities described herein in any jurisdiction. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or the securities laws of any state and may not be offered or sold in the United States absent an exemption from registration.

Contact Information

  • Virtek Vision International Inc.
    Peter Monsberger
    VP Finance and CFO
    (519) 746-7190
    (519) 746-3383 (FAX)
    Email: peter.monsberger@virtek.ca
    or
    Virtek Vision International Inc.
    Bob Sandness
    President and CEO
    (519) 746-7190
    (519) 746-3383 (FAX)
    Email: bob.sandness@virtek.ca
    Website: www.virtek.ca
    or
    Investor Relations Contact:
    Genoa Management Limited
    John Sadler
    1-866-430-6247
    Email: info@genoa.ca