ZoomMed inc.
TSX VENTURE : ZMD

ZoomMed inc.

July 08, 2008 14:32 ET

ZoomMed Inc. Completes Previously Announced Offering

MONTREAL, QUEBEC--(Marketwire - July 8, 2008) - THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

ZoomMed Inc. (the "Corporation") (TSX VENTURE:ZMD), announces that it has completed its previously announced public offering raising approximately $7,671,000 through the issuance of 26,453,495 units at a price of $0.29 per unit. Each unit is composed of one common share in the capital of the Corporation and one half of one common share purchase warrant, with each whole warrant giving the holder the right to purchase one common share from the Corporation at a price of $0.35 for a period of two years following the closing of the offering.

The offering was made through a syndicate of agents led by Blackmont Capital Inc. and M Partners Inc., which included Loewen, Ondaatje, McCutcheon Limited, Industrial Alliance Securities Inc. and Union Securities Ltd. (collectively, the "Agents"). The gross proceeds of the offering include proceeds from the sale of 2,315,565 units resulting from the Agents' partial exercise of the over-allotment option to purchase an additional 3,620,689 units at the same price ($1,150,000). The Agents may exercise the remaining portion of the over-allotment option, representing 1,305,124 units for additional gross proceeds of approximately $380,000, for a period of 30 days from closing.

ZoomMed intends to use the proceeds of the Offering to continue the deployment and marketing of its "ZRx Prescriber" throughout Canada and for working capital purposes.

The transaction is subject to the receipt of all necessary regulatory and stock exchange approvals.

THIS PRESS RELEASE IS NOT AN OFFERING OF SECURITIES FOR SALE IN THE UNITED STATES. THE COMMON SHARES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "U.S. SECURITIES ACT"), AND MAY NOT BE OFFERED OR SOLD WITHIN THE UNITED STATES ABSENT REGISTRATION OR AN APPLICABLE EXEMPTION FROM REGISTRATION REQUIREMENTS OF THE U.S. SECURITIES ACT.

About the Corporation

ZoomMed has developed and markets a new electronic tool, aiming at changing the way drugs are prescribed and dispensed throughout Canada. The "ZRx Prescriber" allows a doctor to fill out and provide prescription information to pharmacists, permitting them to access this information on-line using a bar-code and confirming it with the doctor's signed copy. The Company is listed on the Toronto Venture Exchange under the trading symbol "ZMD" and based in Montreal.

Forward Looking Statements

There are forward-looking statements contained herein that are not based on historical fact, including without limitation statements containing the words "believes," "may," "plans," "will," "estimate," "continue," "anticipates," "intends," "expects," and similar expressions. Such forwardlooking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied by such forward-looking statements. Such factors include among others, ZoomMed's stage of development, limited revenues, additional capital requirements, risks associated with product adoption and utilization, and dependence on collaborative partners. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. The Company disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future results, events or developments.

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