TORONTO, Ontario, Feb. 20, 2003 (PRIMEZONE) -- Telum International Corporation (OTCBB:TLMIF) (the "Corporation") of Toronto, Ontario, Canada today announced that it is proposing to complete a private placement of up to 25 units of the Corporaton ("Units") for aggregate proceeds of up to US$5,000,000. Each Unit consists of 2,857,143 common shares and 571,429 common share purchase warrants. The price per Unit is US$200,000. Each warrant is exercisable into one common share at prices of US$0.15 per share if exercised within six months of closing; US$0.30 if exercised between six and twelve months after closing; and US$0.75 if the warrant is exercised between twelve and twenty four months after closing. The term of the warrants is 2 years. If the maximum proceeds of US$5,000,000 is raised then 71,428,575 common shares and 14,285,715 common share purchase warrants would be issued in the private placement. It is anticipated that there will be one investor in the private placement. The investor under the private placement will be entitled to nominate 4 directors of a 7 member board. There are currently 57,931,014 common shares outstanding. Proceeds are to be used for working capital.
About Telum International Telum International, (OTCBB:TLMIF), is a leading developer of Internet based interactive broadcast and communication technologies. Telum International's innovative and effective delivery solutions allow a wide range of industries to realize the potential of the Internet as a marketing and educational medium. To learn more about Mediapage and other Telum International software solutions visit www.teluminternational.com
Forward-looking statements and comments in this press release are made pursuant to the safe-harbor provisions of Section 21E of the Securities Exchange Act of 1934. Such statements relating to, among other things, the prospects for the company to increase the level of sales, complete future web sites or complete future acquisitions are necessarily subject to risks and uncertainties, some of which are significant in scope and nature, including, but not limited to, the risks related to the demand for the company's products and/or services, competition, and availability of capital. The information herein has not been approved or disapproved by regulatory authorities. The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.