DoveCorp Enterprises Inc.
TSX VENTURE : DOV

DoveCorp Enterprises Inc.

October 17, 2006 15:40 ET

DoveCorp Announces Completion of Debt Financing

TORONTO, ONTARIO--(CCNMatthews - Oct. 17, 2006) - DoveCorp Enterprises Inc. ("DoveCorp" or the "Company") (TSX VENTURE:DOV) is pleased to announce that is has completed a follow-on debt financing with Argosy Bridge Fund L.P. II ("Argosy").

Pursuant to the terms of the loan, Argosy advanced $400,000 to DoveCorp on similar terms as the previous loan completed September 8, 2006. In connection with the loan, DoveCorp agreed to issue 270,000 common shares to Argosy prior to October 31, 2006 subject to the approval of the TSX Venture Exchange. The loan will be used for working capital purposes.

DoveCorp also announced that it has completed a follow-on debt financing with 2013025 Ontario Inc. Pursuant to the terms of the loan, 2013025 Ontario Inc. advanced $100,000 to Dove Corp. on similar terms as the previous loan completed September 8, 2006. In connection with the loan, DoveCorp agreed to issue 42,857 common shares to 2013025 Ontario Inc. prior to October 31, 2006 subject to TSX Venture Exchange approval. The loan will be used for working capital purposes.

About DoveCorp:

DoveCorp is a leader in Canada's dry-cleaning and laundry industry, with the only ISO 9001 dry cleaning registration in the world. For more than 10 years, its flagship Dove Cleaners division has been widely recognized by various fashion and industry magazines as among the best premium dry cleaning and laundry services in Canada. At the same time, its Dove Depot, Meena Cleaners, and Natural Cleaners divisions excel in the mass market. DoveCorp's recent acquisition of Cadet Cleaners, a leader in the Greater Toronto Area for 50 years, has brought the number of DoveCorp's retail locations to 98. In addition, Dove Cleaners Commercial is a full-service provider of linen, uniforms, and mat rentals. The company also provides out-sourced dry cleaning and laundry services.

The TSX Venture Exchange has in no way passed on the merits of the transaction described herein.

Forward-looking statements

This document contains forward-looking statements relating to DoveCorp's financial performance, operations or to the environment in which it operates, which are based on DoveCorp's operations, estimates, forecasts, and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, or are beyond the company's control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. These factors include those set forth in the company's corporate filings, (posted at www.sedar.com). Consequently, readers should not rely on such forward-looking statements. In addition, these forward-looking statements relate to the date on which they are made. Although the forward-looking statements contained herein are based upon what management believes to be reasonable assumptions, DoveCorp cannot be certain that actual results will be consistent with these forward-looking statements, and the company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release and has neither approved nor disapproved of the contents of this release.

Contact Information

  • DoveCorp Enterprises Inc.
    Sam Mizrahi
    President and CEO
    (416) 782-8788 x 223
    Email: sam@dovecorp.com