ElectroBusiness.com Inc.
TSX VENTURE : EB

ElectroBusiness.com Inc.

March 29, 2006 10:33 ET

ElectroBusiness.com Inc. Announces Closing of First Tranche of Private Placement Financing

CALGARY, ALBERTA--(CCNMatthews - March 29, 2006) - ElectroBusiness.com Inc. (the "Corporation") (TSX VENTURE:EB) is pleased to announce that it has closed the first tranche of its previously announced private placement. An aggregate of 2,450,000 brokered units of the Corporation at a price of $0.05 per unit ($122,500) and 1,350,000 non-brokered units at a price of $0.05 per unit ($67,500) were issued for gross proceeds of $190,000. Each unit consists of one common share and one common share purchase warrant. Each full warrant will entitle the holder to purchase one common share for a period of 24 months following the completion of the private placement upon payment of the exercise price of $0.10. The securities issued are subject to a statutory restricted period of four months, which expires on July 28, 2006. The Company has seen strong demand for this placement and expects to complete a second closing in the near future.

National Bank Financial acted as the Corporation's finder in connection with this first tranche of the private placement. National Bank Financial was issued 122,500 common shares and 122,500 common share finder warrants. Each finder warrant will entitle the finder to purchase one common share for a period of 24 months following the completion of the private placement upon payment of the exercise price of $0.05.

The net proceeds of the private placement will be used by the Corporation for production development, sales and marketing, infrastructure upgrades and general working capital. The private placement is subject to the approval of the TSX Venture Exchange.

The ElectroBusiness secure document exchange service connects users to a secure world allowing business transactions with any number of locations, partners, suppliers or customers. ElectroBusiness is building an open source, trading partner exchange where companies can interact regardless of internal business process or systems. The system currently has over 400 companies connected and over 1200 users from the Oil & Gas , manufacturing, distribution and retail industries. The EBX enhances the value of internal workflow and ERP systems and allows for seamless trading partner to trading partner (T-2-T) communication.

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

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