Eguana to Issue $314,000 Flow-Through Exchangeable LP Units; Increases Size of Previously Announced Private Placement of Common Shares and Warrants

CALGARY, ALBERTA--(Marketwired - Dec. 31, 2014) - Eguana Technologies Inc. (TSX VENTURE:EGT) ("Eguana" or the "Company"), a leading supplier of power conversion solutions for battery based energy storage systems, announced today that it is raising $314,000 by way of a private placement (the "Private Placement") of limited partnership units ("LP Units") of its subsidiary EGT Markets Limited Partnership ("Partnership") at a price of $1,000 per LP Unit. The Company has the right to acquire the LP Units in exchange for common shares of Eguana ("Common Shares") after December 31, 2014, at an exchange ratio of 3,030 Common Shares for one LP Unit, which would result in an effective exchange price of $0.33 per Common Share.

The Company also announced today that it has accepted an additional subscription under the previously announced unit offering of Common Shares and warrants (the "Warrants") to purchase Common Shares (as disclosed in the news release dated December 23, 2014 (the "December 23 Release") and issued an additional 150,000 units (each unit comprised of one Common Share and one-half of one Warrant), for an aggregate issuance of 16,057,903 units, representing gross proceeds of approximately $4.82 million. Collectively, these private placements are expected to raise combined gross proceeds of approximately $5.1 million. The net proceeds of the Private Placement will be used by the Company to increase engineering capacity to support a growing base of potential customer relationships with solar integrators and battery manufacturers and for other purposes described in the December 23 Release.

In connection with the Private Placement, the Company expects to pay an aggregate cash commission of $21,980, or 7% of the gross proceeds of the Private Placement, and to issue non-transferable finder's warrants exercisable for a period of 12 months to purchase 66,599 Common Shares, or 7% of the number of Common Shares issuable upon the exchange of the LP Units, at a price of $0.33 per Common Share.

Closing of the Private Placement is expected to occur on December 31, 2014.

The Private Placement remains subject to the final approval of the TSX Venture Exchange. All LP Units will be subject to an indefinite hold period, and all Common Shares issued in exchange for LP Units or on exercise of the finder's warrants will be subject to a hold period of four months plus one day from the closing date of the Private Placement, in each case in accordance with applicable securities legislation.

About EGUANA TECHNOLGIES, INC.:

Headquartered in Calgary, Alberta, Canada, Eguana Technologies Inc. designs and manufactures intelligent high performance low-voltage power electronics platforms for distributed smart grid and energy storage applications. Eguana's software configurable platform enables energy storage systems to optimize the lower cost, modularity and safety advantages of low voltage advanced battery technologies at a much lower cost, and with greater design flexibility than is possible with conventional power electronics solutions.

To learn more, visit www.EguanaTech.com or follow us on Twitter, https://twitter.com/EguanaTech.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

In this news release, all dollar amounts are expressed in Canadian dollars.

Forward Looking Information

The reader is advised that some of the information herein may constitute "forward-looking information" within the meaning assigned by National Instruments 51-102 and other relevant securities legislation. In particular, we include statements concerning: the terms and conditions of, the size of, the closing of, the Company's use of net proceeds from, and the payment of commissions in connection with, the Private Placement; the approval of the Private Placement by the TSX Venture Exchange; the Company's competitive position as a technology leader for advanced battery technologies; and the effect of the Company's products on the cost and design of energy storage systems.

Forward-looking information is not a guarantee of future performance and involves a number of risks and uncertainties. Many factors could cause the Company's actual results, performance or achievements, or future events or developments, to differ materially from those expressed or implied by the forward-looking information. Readers are cautioned not to place undue reliance on forward-looking information, which speaks only as of the date hereof. Readers are also directed to the risks identified in the Company's disclosure documents, which may be found on its website or at www.sedar.com. The Company does not undertake any obligation to release publicly any revisions to forward-looking information contained herein to reflect events or circumstances that occur after the date hereof or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws