January 12, 2006 12:29 ET

Active Control Financing-First Tranche Closed, Order Back-Log Shipping

TORONTO, ONTARIO--(CCNMatthews - Jan. 12, 2006) - Active Control Technology Inc. (the "Corporation")(TSX VENTURE:ACT) is pleased to announce that it has closed the first tranche of $215,000 of its financing previously announced on December 15, 2005. The Company has issued 4,300,000 units priced at $0.05 per unit with each unit comprised of one common share and one warrant to purchase a further common share at $0.10 until January 11, 2008. A $21,500 cash commission and 430,000 compensation warrants were issued to Aberdeen Gould Inc. as commission on the financing. Each compensation warrant is good to purchase a common share at $0.10 until January 11, 2008. The Securities issued are legended and restricted from trading until May 12, 2006.

The proceeds of this closing will be used to continue shipping a current order back-log from major customers which stands in excess of $185,000, for working capital and to recapitalize the Corporation's balance sheet.

An employee of the Corporation has agreed to settle a C$10,000 performance bonus in exchange for 190,476 common shares at a price of C$0.0525 per share.

The transactions set out herein are subject to approval from the TSX Venture Exchange.

Active Control Technology Inc. designs and markets wireless radio frequency (RF) devices for the commercial security and access control industries in North America. Located in Mississauga, Ontario in Canada, the company trades publicly on the TSX Venture Exchange under the symbol ACT.

We make RF work.™

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

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