Sonomax Hearing Healthcare Inc.

Sonomax Hearing Healthcare Inc.

March 16, 2007 09:00 ET

Sonomax Announces Third Closing of Private Placement


Sonomax Hearing Healthcare Inc. (TSX VENTURE:SHH) announces that it has completed the closing of a third tranche of its previously-announced private placement by issuing a total of 666,660 units at a price of $0.225 per unit for net proceeds to Sonomax of $150,000. Each unit consists of one common share of Sonomax and one common share purchase warrant. Each full warrant entitles the holder to purchase one additional common share of Sonomax at a price of $0.35 until March 15, 2009.

The sale of the 666,660 units represents the third tranche of a private placement of up to 15,555,555 units, for maximum proceeds to Sonomax of $3.5 million. Sonomax anticipates that a final closing of the private placement will take place before the end of March 2007.

The proceeds from the private placement will be used by Sonomax for working capital purposes, most particularly to automate its manufacturing process, for the engagement of professional operational management, and to launch Sonomax's worldwide Earfit™ software initiative with Aearo Technologies. Automation of the manufacturing process will become necessary if Sonomax is to produce the quantities that will be needed if it achieves the hoped-for success with its Aearo, European Community and other international SonoCustom™ licensing agreements.

The common shares and warrants issued by Sonomax at the third closing of the private placement are subject to a four-month hold period expiring on July 16, 2007, in accordance with applicable securities laws and the policies of the TSX Venture Exchange.

The third closing of the private placement has increased the number of outstanding common shares of Sonomax to 146,796,213.

About Sonomax Hearing Healthcare Inc:

Sonomax Hearing Healthcare Inc (TSX Venture Exchange: SHH) is a leader in the development and manufacturing of intra-ear technology for hearing protection, hearing enhancement, and other auditory applications.

Sonomax created SonoCustom™, a unique expansion earpiece and a highly efficient gatekeeper between sounds and eardrums, and SonoPass™ fit validation software, whose capability has been expanded so that it can now test hearing protectors other than SonoCustom™, with the objective of establishing individual fit-testing of hearing protectors as the universal standard.

The Company's SonoPlatform™ is the foundation for state-of-the-art hearing aids, active and passive earpieces for military use, and cellular telephone and entertainment digital wireless applications.

This news release contains certain forward-looking statements that reflect the current views and/or expectations of Sonomax Hearing Healthcare Inc. with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Actual results and events may vary significantly.

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

Contact Information

  • Sonomax Hearing Healthcare Inc.
    Nick Laperle, President