Nortec Ventures Corp.
TSX VENTURE : NVT

Nortec Ventures Corp.

March 26, 2007 09:00 ET

Nortec Ventures Announces Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 26, 2007) - Nortec Ventures Corp. (TSX VENTURE:NVT) ("Nortec" or the "Company"), is pleased to announce that it has arranged a non-brokered private placement to raise up to $2,025,000 through the issuance to Pinetree Resource Partnership of a combination of common shares (the "Shares") and special warrants (the "Special Warrants") of the Company, each at a price of $0.15, for a maximum issuance of up to 13,500,000 common shares (the "Offering").

Each Special Warrant will entitle the holder to acquire, for no further consideration, one Share of the Company. The Special Warrants will be deemed to be exercised into Shares on the third business day following the date the Company obtains the approval of its shareholders to the private placement of the Special Warrants (the "Shareholder Approval Condition"), as required by the policies of the TSX Venture Exchange. Nortec will seek the approval of the Special Warrant Private Placement at a special meeting of the shareholders of the Company.

The Company will use the net proceeds received from the Offering to cover the work program at Koillismaa-Naranka Nickel-Copper-PGE Project, Finland; TL Nickel-Copper Project, Labrador, and general working capital. 100% of the gross proceeds received from the sale of the Special Warrants will be held in trust following the closing of the Offering and will not be released to the Company unless the Shareholder Approval Condition is satisfied. If the Shareholder Approval Condition is not satisfied such proceeds will be returned to the sole subscriber and all outstanding Special Warrants will be cancelled and be of no further force or effect. The proceeds received from the sale of the Shares will be immediately available for use by the Company following the closing of the Offering.

A finder's fee equal to 6.6% of the gross proceeds raised pursuant to the Offering will be payable in common shares (at a deemed value of $0.17 per common share) (the "Finder's Fee").

All securities issued pursuant to the Offering will be subject to a four month hold period.

On behalf of the Board of Directors,

NORTEC VENTURES CORP.

Mohan R. Vulimiri, President & CEO

The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company's expectations. Certain risk factors may also affect the actual results achieved by the Company.

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

Contact Information

  • Nortec Ventures Corp.
    Mohan R. Vulimiri
    President & CEO
    (604) 717-6426
    or
    Suite 875, 555 Burrard Street
    Box 205, Bentall Two Centre
    Vancouver, BC, Canada V7X 1M8
    (604) 717-6426
    (604) 717-6427 (FAX)
    Email: info@nortecventures.com
    Website: www.nortecventures.com