CardioComm Solutions, Inc.
TSX VENTURE : CCG

CardioComm Solutions, Inc.

October 19, 2005 08:00 ET

CardioComm Solutions Inc. Announces Corporate Acquisition, Private Placement and Product Development Joint Venture

VICTORIA, BRITISH COLUMBIA--(CCNMatthews - Oct. 19, 2005) - CardioComm Solutions Inc. (TSX VENTURE:CCG) ("CardioComm", the "Company"), is pleased to announce the following key developments:

Acquisition of CardioView, Inc.

CardioComm has entered into an agreement to acquire CardioView, Inc. ("CardioView"). CardioView is a Canadian based medical imaging and information technology company dedicated to improving communication and education in the field of cardiology.

A very distinguished team of cardiologists, led by Anatoly Langer, MD, MSc, FRCPC, FACC (Dr. Langer is currently Chair of Canadian Heart Research Centre, staff cardiologist at St. Michael's Hospital and Professor of Medicine at the University of Toronto), imaging scientists, programmers and web designers, have been involved in the development of CardioView.

CardioView's premier product is a Web-enabled reporting system for interventional cardiologists. CardioView's patented technology allows cardiologists to rapidly transmit high quality angiographic DICOM files and procedural reports securely over the Web. For the first time, these angiograms are conveniently available anywhere, anytime for physicians, clinicians and patients. The system is in use across Canada as part of a sponsored stent registry program.

CardioComm has agreed to purchase all of the issued shares of CardioView, with all of the common shares being purchased for $1.00 on closing and up to 1 million non-voting preference shares of CardioView being redeemable at CardioView's option, or retractable at the holder's option, for $1.00 per share within 36 months of the closing, payable in shares of CardioComm based on a price of $0.08 per CardioComm share.

Private Placement

CardioComm announces that it intends to carry out a non-brokered private placement of up to 6,250,000 units to raise gross proceeds of up to $500,000 at $0.08 per unit. Each unit consists of one common share of CardioComm and one half of one warrant, with each whole warrant entitling the holder to purchase one common share of the CardioComm for $0.08 in the first year and $0.10 the second year from the date of issuance. The proceeds will be used for additional marketing and general working capital.

Joint Product Development

Dr. Langer and CardioComm have agreed to jointly develop a customized version of CardioComm's GlobalCardio™. Dr. Langer or an affiliate will fund a significant portion of the development. CardioComm will maintain ownership of the new technology and Dr. Langer will maintain a secured first charge on the intellectual property associated with the development until such time as any one or more of the Preference shares are redeemed.

CardioComm plans to continue development initiatives towards a full web enabled ECG management system. CardioComm holds a still greater vision and plans to grow beyond ECG management by extending the reach of its patented and proprietary technology to encompass other cardiac diagnostic tools. Ongoing innovation will establish CardioComm as the market and industry leader in the management of a wide range of information, including medical data obtained through echocardiography, cardiac catheterization, EP studies, and additional telemedicine device compliments, such as, blood pressure and spirometry tests - the true clinical Electronic Medical Record ("EMR"). The acquisition of CardioView is the first step in reaching this vision with leading edge technology for use in the cardiac catheterization labs.

Stephen Martin, President & CEO of CardioComm, stated that, "CardioComm is extremely excited about joining forces with Dr. Langer and his team. Both Dr. Langer and CardioComm have convergent visions for the future of cardiology information management systems. The efficiencies gleaned through the combination of CardioView and CardioComm will be numerous. The merger of disciplines will effect comprehensive toolsets for cardiologists and other physicians requiring immediate and efficient access to cardiology information and EMR. We feel that this relationship will help both organizations accelerate their growth plans."

The acquisition of CardioView and the private placement are subject to completion of due diligence and receipt of all necessary shareholder and regulatory approvals, with an anticipated closing date of December 31, 2005.

About CardioComm Solutions Inc.

CardioComm's patented and proprietary technology is used in products for the recording, viewing, analyzing and storing of electrocardiograms (ECGs), for diagnosis and management of cardiac patients. The Company's products are sold worldwide through a combination of its external distribution network and its North American based sales team. CardioComm has achieved its technical goals of improved access and communication through the development of a real-time ECG viewer. CardioComm is the first company to provide a real-time means of viewing ECGs over a network (LAN, WAN or Internet). This tool enables ECGs to be viewed and controlled live, by physicians, over a global virtual healthcare network. This technology is marketed as Global ECG Management System (GEMS™) and GlobalCardio™. CardioComm's software products have been cleared for sale in the United States by the U.S. Food and Drug Administration. The Company has earned the latest ISO 13485 certification.

On behalf of the Board of Directors of CardioComm Solutions Inc.

Stephen R. Martin, President & CEO

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

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