Innoventé inc.

Innoventé inc.

November 25, 2010 15:33 ET

Innovente Closes $4,210,876.20 With Its Initial Public Offering

QUEBEC CITY, QUEBEC--(Marketwire - Nov. 25, 2010) - INNOVENTE INC. (the "Company") announces that it closed, as of today, its initial public offering by way of prospectus (the "Offering") for a total amount of $4,210,876.20. Industrial Alliance Securities Inc. and M Partners Inc. acted as co-lead agents (collectively, the "Agents") in connection with the Offering, which was conducted with subscribers in the provinces of Ontario, Quebec and British Columbia.

Upon closing of the Offering (the "Closing"), the Company issued an aggregate number of 4,953,972 units at a price of $0.85 per unit (the "Units"). Each Unit consists of one common Share in the share capital of the Company (the "Common Share") and one Common Share purchase warrant (each Common Share purchase warrant a "Warrant"). Each Warrant entitles its holder to purchase one Common Share in the share capital of the Company, at a price of $1.25 per share, for a period of 3 years following Closing.

In consideration for the services rendered by the Agents in connection with the Offering, the Company has paid to the Agents a cash commission of an aggregate amount of $315,815.72. The Company also issued to the Agents an aggregate number of 346,778 compensation options (the "Compensation Options"). Each Compensation Option entitles the holder to purchase one Common Share in the share capital of the Company at a price of $0.85 per share during a period of 3 years following the Closing.

The proceeds of the Offering will be used for the construction and operation of a plant producing BEFOR, a biomass with high calorific value and the construction of additional biomass conversion centers producing only BEFOR or the construction of a cogeneration plant if the Company obtains the required financing from one or more financial institutions. The proceeds of the Offering will also provide the Company with working capital and operations.

Immediately prior to the Closing, the Company also converted unsecured convertible debentures (the "Debentures") for an aggregate principal and interest amount of $493,274, which were issued on December 9, 2009. The amount of $493,274 remaining to be paid on the Debentures was converted into an aggregate of 1,128,206 units of the Company calculated after the splitting described below. Each unit issued upon conversion of the Debentures was comprised of one Common Share and one Common Share purchase warrant of the Company (each Common Share purchase warrant a "Warrant Issued upon the Conversion"). Each Warrant Issued upon the Conversion entitles the holder thereof to purchase one Common Share in the share capital of the Company at a price of $0.85 per share for a period of 3 years following the conversion of the Debentures.

Immediately prior to the Closing, the 1,075,561 issued and outstanding Common Shares, including the conversion of the Debentures, were split by the Company into 24,000,000 Common Shares which were issued and outstanding immediately prior to the Closing. The Warrants Issued upon the Conversion were also split by the Company into 1,128,206 Warrants Issued upon the Conversion which were issued and outstanding immediately prior to the Closing. The Company expects to be able to file shortly all required documentation to satisfy the conditional approval of the TSXV. The common shares of the Company (the "Common Shares") are expected to begin trading on the TSX Venture Exchange Inc. (the "TSXV") under the symbol "IGE" very soon.

About INNOVENTE INC.

INNOVENTE owns exclusive commercialization rights for an innovative technology that allows production of green energy using organic waste. Each region produces different types of agricultural, municipal and industrial waste (manure, municipal sludge, food processing sludge, etc.) which are costly to dispose of and often cause serious environmental problems. Through the development of regional power stations, INNOVENTE wishes to create solutions for organic waste management, energy security and reduction of greenhouse gases. Hydro-Québec (acting through its division Hydro-Québec Distribution) recently awarded INNOVENTE a 25-year electricity supply contract to produce electricity from a cogeneration plant with a 4.6 MW capacity to be built in Saint-Patrice-de-Beaurivage (Québec). INNOVENTE's strategic vision lies upon developing power stations throughout regions in Québec, in Canada and across the world.

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.

Forward-looking statements contained in this press release involve known and unknown risks, uncertainties and other factors that may cause actual results, performance and achievements of INNOVENTE INC. to be materially different from any future results, performance or achievements expressed or implied by the said forward-looking statements.

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