Sernova Corp.

TSX VENTURE : SVA


Sernova Corp.

February 19, 2013 06:00 ET

Sernova Completes Non-Brokered Private Placement

LONDON, ONTARIO--(Marketwire - Feb. 19, 2013) -

NOT FOR DISTRIBUTION TO US NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Sernova Corp. ("Sernova" or the "Company") (TSX VENTURE:SVA) today announce that further to its news release dated January 21, 2013, it has now closed its non-brokered private placement consisting of 10,000,000 units (the "Units") at a price of $0.20 per Unit for gross proceeds of $2,000,000 (the "Offering").

Net proceeds from the offering will be utilized in the advancement of Sernova's clinical development program of its Cell Pouch™ for the treatment of diabetes, new product initiatives and general corporate purposes.

Each Unit consists of one common share and one common share purchase warrant (a "Warrant"), with each Warrant entitling the holder thereof to purchase one common share of the Company (a "Warrant Share") for a period of 36 months from the closing of the Offering (the "Exercise Period") at a price of $0.35 per Warrant Share for the first 24 months of the Exercise Period and at a price of $0.40 per Warrant Share for the last 12 months of the Exercise Period.

In connection with closing of the Offering, the Company paid an eligible finder a cash commission of $140,000 and issued 700,000 non-transferable finder's warrants (the "Finder's Warrants"). Each Finder's Warrant entitles the holder to purchase one common share of the Company at a price of $0.20 for a period of 24 months from the date of issuance.

All securities issued pursuant to the Offering are subject to a four month hold period expiring on June 15, 2013.

About Sernova

Sernova Corp. is a Canadian-based, health-sciences company focused on commercializing medical technologies. Sernova is currently developing a platform technology for a number of serious disease indications, starting with a novel treatment for insulin-dependent diabetes, using the novel Cell Pouch System™, a medical device for transplantation and long-term efficacy of therapeutic cells and its patented Sertolin™ cell technology which provides local immune protection of therapeutic cells.

Forward-Looking Information This release may contain forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although Sernova believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of Sernova's management on the date such statements were made. Sernova expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any of the Shares in the United States. The Shares have not been and will not be registered under the U.S. Securities Act of 1933 or any state securities laws, and may not be offered or sold in the United States without registration under the U.S. Securities Act of 1933 and all applicable state securities laws, or an applicable exemption from registration requirements.

Neither the 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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