GrowthWorks Atlantic Venture Fund

GrowthWorks Atlantic Venture Fund

September 18, 2007 15:01 ET

GrowthWorks Atlantic Venture Fund Makes Various Changes

HALIFAX, NOVA SCOTIA--(Marketwire - Sept. 18, 2007) - The Fund announced today that the Board has approved including in the management information circular for the Fund's 2007 annual general meeting, a proposal to change the mix of non-venture investments for the Fund's previously issued Class A shares. The current mix of non-venture investments for these series consists mostly of reserves expected to generate a fairly stable level of income or gains and that can be readily sold, such as bank deposits, treasury bills, or bonds. The aim of the proposal is to achieve higher returns during a period of low interest rates on high quality debt instruments by changing the mix of non-venture investments to include Canadian bank securities.

Introduction of New Menu Series

The Fund also announced that the Board has approved the introduction of up to four new "Menu Series" of Class A Shares: New Balanced Shares, Growth Shares, Financial Services Shares and a fourth yet to be named series.

The Menu Series will share in the same venture investment portfolio yet, as the series' names indicate, will offer investors a different investment focus for non-venture investments. The Menu Series will have a switch privilege whereby investors may generally switch from one Menu Series to another. Sales of the Menu Series will commence when a receipt is issued for the Fund's final 2007/2008 prospectus. At that time, the Fund's existing Balanced Shares will be taken off-sale.

In connection with the introduction of the Menu Series, the Fund's Board has approved including in the information circular for the Fund's 2007 AGM a proposal to amend the Fund's Articles to provide for the conversion of existing Balanced Shares into New Balanced Shares. The proposed conversion will allow holders of existing Balanced Shares to avail themselves of the switch privilege attached to the Menu Series.

Suspension of sales of Commercialization Shares

The Fund also announced today it will no longer offer Commercialization Shares. The decision to suspend sales of Commercialization Shares was prompted primarily by lower than expected sales for the series of Commercialization Shares offered to date.

The Fund previously offered three series of Commercialization Shares. The Fund's Board has approved including in the information circular for the Fund's 2007 AGM a proposal that the venture and non-venture investments allocated to each series of Commercialization Shares, after the dividend policy for the series has run its course, be pooled with the assets allocated to other series of Class A Shares with the aim of enhancing portfolio diversification. It is further proposed that each series of Commercialization Shares subsequently be converted into New Balanced Shares.

As noted, certain of the proposed changes are subject to shareholder approval at the Fund's 2007 AGM scheduled for November 28, 2007. Further details of these proposed changes will be contained in the meeting materials sent to shareholders. There can be no assurance that the required approvals will be obtained.

About GrowthWorks (www.growthworks.ca)

GrowthWorks™ managed funds provide investment capital for Canadian companies and tax-advantaged investment opportunities for Canadian investors. GrowthWorks(i) manages over $800 million in assets through the Working Opportunity Fund (EVCC) Ltd., GrowthWorks Atlantic Venture Fund Ltd., GrowthWorks Commercialization Fund Ltd. and GrowthWorks Canadian Fund Ltd. GrowthWorks identifies, analyzes and structures investments in companies with high growth potential. Particular emphasis is placed on IT, Life Sciences and Advanced Manufacturing sectors. Building on over 15 years of investment expertise, GrowthWorks is a leader in Canadian venture capital management.

(i) GrowthWorks refers to affiliates of GrowthWorks Ltd. and includes: GrowthWorks Capital Ltd., manager of the Working Opportunity Fund (EVCC) Ltd.; GrowthWorks WV Management Ltd., manager of GrowthWorks Canadian Fund Ltd. and GrowthWorks Commercialization Fund Ltd.; and GrowthWorks Atlantic Ltd., manager of GrowthWorks Atlantic Venture Fund Ltd. GrowthWorks is a registered trademark of GrowthWorks Capital Ltd.

Sales of the Menu Series will not be offered to the public until a receipt for a prospectus qualifying such sales is obtained from securities regulatory authorities in the Atlantic Provinces. This announcement shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale or any acceptance of an offer to buy these securities in any province of Canada prior to the time a receipt for the final prospectus is obtained from the securities commission or other similar authority in such province. Net assets of the Fund, including venture investments, are allocated among series of the Fund's Class A Shares based on the series' investment program. On December 16, 2005, the Fund completed a merger by purchasing the assets of Workers Investment Fund Inc. in exchange for Class A shares distributed to former shareholders of that fund. Commissions, trailing commissions, management fees and expenses all may be associated with investment fund purchases. Please read the prospectus of the Fund before investing. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.

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