IP Applications Corp. Announces Non-brokered Private Placement



    VANCOUVER, June 20 /CNW/ - IP Applications Corp. (the "Company")
(IPX: TSX-V) today announces that it intends, subject to receipt of all
necessary regulatory approvals, to complete a non-brokered private placement
to raise between $750,000 and $1,500,000 through the issuance of up to
7,500,00 units at a price of $0.20 per unit (the "Offering").
    Each unit will consist of one common share and one-half common share
purchase warrant. Each whole warrant will entitle the holder thereof to
acquire an additional common share of the Company at a price of $0.25 for a
period of two years after closing. Pender Financial Group Corporation and
insiders of the Company are expected to participate in this financing. A
Finder's fee of 8% payable in cash and warrants equal to 8% of the number of
units issued to the subscribers may be paid to arm's length third parties in
connection with the Offering, however no finder's fee will be payable on any
shares purchased by insiders. IP Applications intends to use the net proceeds
for working capital necessary to advance a strong initiative into the rapidly
expanding Software as a Service ("SaaS")/Cloud computing markets
    John Jacobson, President and CEO said "We've spent a lot of time this
year planning our entry into the fast growing Software as a Service and Cloud
Computing markets. Major players in the enterprise software space are
searching for technical solutions to billing, administration and marketing
services required by these new computing models. This financing funds the
product upgrades and marketing to move IP Applications as rapidly as possible
into this fast-growing high-value market."

    About IP Applications Corp.

    IP Applications delivers hosting, business process automation and
customer care for companies in the rapidly expanding Software-as-a-Service
(SaaS") market. IP Applications' customers use the Company's data center and
staff instead of developing their own infrastructure and administrative
software. Customers are free to focus on their product technology while
IP Applications solves the end user satisfaction and delivery management
issues for them.

    Forward-Looking Statements

    This press release may contain forward-looking statements. The Company
cautions users of this forward-looking information that actual results or
events may vary materially either favorably or unfavorably from those
described due to a number of risks and uncertainties. Such risks and
uncertainties include, but are not limited to: the inability of the Company to
accurately forecast the revenue from new and existing customers; the inability
of the Company's customers to accurately forecast their own demand for the
Company's products and service; changes in the relative value of the US and
Canadian dollars; the possibility that one or more customers or suppliers
might experience financial difficulties that could affect the Company's
ability to deliver and get paid for its products and services; and changes in
the growth rate of technology and telecommunications concerns. Refer to the
Company's management's discussion and analysis ("MD&A") for further discussion
of these and other risks and uncertainties in relation to such forward-looking
information.
    Forward-looking information is based on management's current
expectations, estimates and opinions. Please refer to the MD&A for a
discussion of the events and circumstances which occur that cause, or are
likely to cause, actual results to differ materially from such forward-looking
information.

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





For further information:

For further information: Richard Topham, CFO, D (604) 630-5657, E
ir@ipapplications.com

Organization Profile

IP APPLICATIONS CORP.

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