Acceleware Corp.

Acceleware Corp.

October 16, 2006 11:00 ET

Acceleware Announces Private Placement

CALGARY, ALBERTA--(CCNMatthews - Oct. 16, 2006) - Acceleware Corp. (TSX VENTURE:AXE) (the "Corporation" or "Acceleware") is pleased to announce that it intends to complete a non-brokered private placement of up to 250,000 units (each a "Unit") at a price of $0.60 per Unit for gross proceeds of $150,000. Each Unit will consist of one common share and one common share purchase warrant. Each whole warrant is exercisable into one common share at a price of $0.96 per common share for a period of 12 months for the issuance of the warrants. The completion of the private placement is subject to TSX Venture Exchange Inc. approval and other regulatory approval.

Proceeds of the private placement will be used for general corporate purposes and to increase the Corporation's working capital. It is anticipated that the subscribers for the offering will be the directors, officers and employees of the Corporation. It is not anticipated that any new insiders will be created, nor that any change of control will occur as a result of the private placement.

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 offered securities mentioned in this press release will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") and may not be offered or sold within the United States or to, or for the account or benefit of U.S. persons except in certain transactions exempt from the registration requirements of the U.S. Securities Act.

This new release shall not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction.

About Acceleware

Acceleware develops and markets hardware acceleration products used to reduce the run-times of High Performance Computing (HPC) applications such as cell-phone design, seismic data processing, printed circuit board design, drug discovery, nanophotonic communications device design, reservoir simulation, lithography mask design, and others.

Acceleware products are distributed by Computer Aided Design (CAD) and Computer Aided Engineering (CAE) software companies to end-users at the world's largest organizations in a wide range of industries. A simulation that would have otherwise taken eight hours, may only take 15 minutes with Acceleware's v2.0 generation of products. Acceleware has identified the following markets for its technology: electromagnetics; energy; biomedical; fluid dynamics; pharmaceuticals; industrial; and military.

The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

Contact Information

  • Acceleware Corp.
    Sean Krakiwsky
    President and Chief Executive Officer
    (403) 210-9650 ext. 204