Enablence Technologies Inc.

Enablence Technologies Inc.

April 30, 2009 14:10 ET

Enablence Technologies Inc. Prices Prospectus Offering


Enablence Technologies Inc. ("Enablence" or the "Company") (TSX VENTURE:ENA), a leading supplier of fiber-to-the-home (FTTH) equipment for triple-play residential and business services and optical components and subsystems for access, metro and long haul markets, is pleased to announce that, further to its press release dated April 15, 2009, it has entered into an agency agreement with a syndicate of agents led by Paradigm Capital Inc., and including Haywood Securities Inc. and Raymond James Ltd. (collectively, the "Agents") in respect to the offering of common shares (the "Offering") contemplated by the preliminary short form prospectus dated April 15, 2009. Under the terms of the Agency Agreement, the Agents will offer, on a best efforts basis, up to 40,000,000 common shares at a price of $0.30 per common share. Insiders of Enablence, namely, Arvind Chhatbar, President and Chief Executive Officer, Ronald Benn, Vice President, Finance and Stephen Bower, a director of the Company, have indicated their intention to subscribe under the Offering for an aggregate of approximately 6,800,000 common shares.

The Agents have been granted an over-allotment option for a period of 30 days following the closing of the Offering to arrange for the sale of up to an additional 6,000,000 common shares at the issue price. The Company anticipates filing a final short form prospectus on May 1, 2009. The Offering is expected to close on or about May 12, 2009. Closing is subject to certain conditions including, but not limited to, the receipt of all necessary approvals including the approval of the applicable securities regulatory authorities and the TSX Venture Exchange.

The net proceeds of the Offering are anticipated to be used to strengthen the Company's balance sheet and better position the Company to execute its growth strategy as well as for new product research and development, sales and marketing, expansion of product lines and product consolidation and for working capital and general corporate purposes.

This press release is not an offer to sell or the solicitation of an offer to buy the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to qualification or registration under the securities laws of such jurisdiction. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States or to, or for the account or benefit of, U.S. persons absent registration or an applicable exemption from U.S. registration requirements.

About Enablence Technologies Inc.

Enablence Technologies Inc., (TSX VENTURE:ENA) a publicly traded company headquartered in Ottawa, Canada, designs, manufactures and sells optical components, subsystems and systems to a global customer base.

Enablence's Systems Division has an expanding Fiber-to-the-Premises (FTTP) product portfolio featuring a variety of architectural options. It enables services providers to evolve their access networks from traditional copper-based networks to advanced optical communications access networks that are based on state of the art IP and Ethernet standards, for triple play voice, video and data services including HDTV, IP Telephony and ultrafast internet access. The Division's network equipment has been implemented at over 420 services providers world-wide that serve over 4 million subscribers.

Enablence's Optical Components and Subsystems Division is a global leader in applying Planar Lightwave Circuit (PLC) technology to integrate multiple components into a single optical chip to reduce footprint and costs. Network and equipment designers around the world turn to Enablence for a variety of components and subsystems for access, metro and long-haul including transceivers, splitters, waveguides, optical channel monitors, multiplexers, ROADMs, switches, tunable dispersion compensators, and photodiodes. The Division serves over 120 system and subsystem developers and its products have been integrated in all major communications networks world-wide, serving tens of millions of subscribers.

Forward Looking Statements

This press release may contain forward looking statements that are made as of the date hereof and are based on current expectations, forecasts and assumptions which involve risks and uncertainties associated with our business and the economic environment in which the business operates. All such statements are made pursuant to the 'safe harbour' provisions of, and are intended to be forward-looking statements under, applicable Canadian securities legislation. Any statements contained herein that are statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution our readers of this news release not to place undue reliance on our forward-looking statements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the preliminary short form prospectus dated April 15, 2009 and the Corporation's continuous disclosure documents that can be found on SEDAR www.sedar.com. Enablence does not intend, and disclaims any obligation, expect as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

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 release.

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