CriticalControl Solutions Corp.
TSX : CCZ

CriticalControl Solutions Corp.

October 25, 2010 09:01 ET

CriticalControl Announces $2.5 Million Bought Deal Private Placement

CALGARY, ALBERTA--(Marketwire - Oct. 25, 2010) - CriticalControl Solutions Corp., (TSX:CCZ) ("CriticalControl" or the "Corporation") announces that it has executed a firm commitment engagement letter with Laurentian Bank Securities ("LBS") where LBS has agreed to acquire on a bought deal private placement basis 4,545,455 common shares of the Corporation for $0.55 per share representing gross proceeds of $2.5 million, which will primarily be placed with institutional investors. Additionally, LBS will be granted an option to increase the size of the placement by an additional 909,091 common shares representing additional gross proceeds of $500 thousand on the same terms and conditions of the placement. LBS will be paid a fee of up to 6% of the gross proceeds to the Corporation. The common shares will be subject to a four month hold period from issuance. Completion of the placement is expected to occur in part by October 28, 2010 with the remainder to be completed by November 9, 2010, or such time as agreed to by the parties. Closing of the placement is subject to customary closing conditions, including receipt of all applicable regulatory approvals including the approval of the Toronto Stock Exchange.

The use of funds from the placement is to facilitate the short term acquisition and growth objectives of the Corporation in its United States based energy services business and for general working capital purposes.

The securities offered have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.

About CriticalControl:

CriticalControl enables its clients to increase operational performance through the better control of critical business information. Integrating technology with labour intensive processes of imaging and data entry, CriticalControl empowers its clients to increase their competitiveness, reduce operating expenses and improve margins. For more information please visit www.criticalcontrol.com.

Forward-Looking Information:

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "plan", "intend", "objective", "continuous", "ongoing", "estimate", "expect", "may", "will", "project", "should" or similar words suggesting future outcomes. In particular, this press release contains forward-looking information relating to the expected closing date of the private placement and the anticipated use of proceeds from the private placement. There is no assurance that the Corporation will be successful identifying and closing any intended acquisition, as no associated binding documentation has been executed. This forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the closing date of the private placement and the use of proceeds to be materially different from those expressed or implied herein, including but not limited to: risks related to capital markets, general economic conditions, legislative and regulatory developments, and the regulatory approval process for the private placement, as well as those factors discussed in the Corporation's documents filed on SEDAR (www.sedar.com).

Although the Corporation has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated. Accordingly, readers should not place undue reliance on forward-looking statements. The Corporation does not undertake to update any forward-looking statements that are contained herein, except in accordance with applicable securities laws. Further information on the Corporation is available at www.sedar.com.

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