Contec Innovations Inc.

Contec Innovations Inc.

August 21, 2007 17:36 ET

Contec Closes Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 21, 2007) - Contec Innovations (TSX VENTURE:BUZ), a provider of mobile software and services, today announced the completion, subject to TSX Venture Exchange approval, of its private placement offering, originally announced May 25, 2007, of 4,285,714 units (the "Units") at C$0.175 per Unit for gross proceeds of C$750,000. Such Units are subject to a four-month hold period expiring December 22, 2007.

Each Unit consisted of one common share and one non-transferable share purchase warrant (the "Warrants") where each Warrant will allow the subscriber to purchase one additional common share at a price of C$0.30 per common share until May 22, 2008. The common shares issued upon the exercise of the warrants are subject to a 4-month hold period expiring December 22, 2007. Contec intends to apply to the TSX Venture Exchange to have the warrants listed for trading provided the listing requirements of the TSX Venture Exchange have been met.

A finder's fee of C$39,179 cash and 115,250 finder's warrants, exercisable at C$0.175 per share, were paid in relation to this financing. Each Finder's Warrant may be exercised for one additional common share of the Company until August 21, 2008. Such warrants, and the common shares issued upon the exercise of these warrants, are also subject to a four-month hold period expiring December 22, 2007.

The proceeds of the warrant exercise will be added to working capital and will fund business development and ongoing marketing efforts of BUZmob™, Contec's mobile publishing service.

About Contec Innovations

Contec Innovations Inc. (TSX VENTURE:BUZ) develops and markets Hornet™, a mobile data infrastructure platform to accelerate the creation and rollout of mobile data services. BUZmob™ is Contec's Hornet-powered mobile publishing service for news agencies, media companies, blog platforms and social networks. BUZmob™ provides publishers a simple, web-based solution to mobilize and deliver content to users on any device, on any network, anywhere - with no handset software download required. Contec is headquartered in Vancouver, Canada and has a sales and support office in Beijing, China. See more at or


Don Lay, President & CEO

The statement made in this press release may contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations. Hornet™ and BUZmob™ are trademarks of Contec Innovations Inc.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy of the content of the information contained herein.

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