Phonetime announces private placement



    Will raise up to $1.94 million

    MISSISSAUGA, ON, April 8 /CNW/ - Phonetime Inc. (TSX: PHD), one of the
world's fastest growing providers of international long-distance
telecommunication services, announced today it has entered into an engagement
agreement with First Republic Capital Corporation, on a "best efforts" agency
basis, for a private placement of units to accredited investors, each unit
comprised of one common share and one common share purchase warrant. The
offering will generate gross proceeds of up to $1,935,500 (CDN). Phonetime
intends to use the proceeds of the financing for working capital purposes. The
financing, which is subject to the completion of definitive documentation and
regulatory approval, is expected to close by April 30, 2009.
    The private placement to accredited investors will consist of an offering
of up to 12.9 million units, each unit comprised of one common share and one
common share purchase warrant, at a subscription price of $0.15 per unit. Each
common share purchase warrant will be exercisable, at any time during the two
year period following the closing of the private placement, to purchase one
common share at an exercise price of $0.30 per share.
    "Raising almost $2 million under current market conditions reflects
positively on the investment community's belief in our long-term potential,"
said Wayne Silver, President and CEO of Phonetime. "The proceeds will enable
us to execute the next stage of our growth, particularly as we build on the
success of our Wholesale Division and continue our expansion into the EMEA
(Europe, Middle East & Africa) and Asia-Pacific regions."

    About Phonetime Inc.

    Established in 1994, Phonetime is a leading supplier of international
wholesale and retail long distance telecommunications services with network
facilities in Canada, the U.S., Europe, Africa and Asia. Through its Wholesale
Division, Phonetime buys and resells long-distance services to major telephone
carriers around the world using its proprietary call trading platform. Through
its Retail Division, Phonetime provides subscription-based long distance
services to targeted ethnic consumers across Canada and competitively markets
a range of pre-paid long distance phone cards. Phonetime's common shares trade
on the Toronto Stock Exchange under the symbol PHD. More information can be
found at the Company's website, www.phonetime.com

    Caution Regarding Forward Looking Information:

    This press release contains forward-looking statements, which may be
identified by words like "expects", "anticipates", "plans", "intends",
"indicates" or similar expressions. These statements are not a guarantee of
future performance and are inherently subject to risks and uncertainties.
Phonetime's actual results could differ materially from those currently
anticipated due to a number of factors set forth in reports and other
documents filed by the Company with Canadian securities regulatory authorities
from time to time.





For further information:

For further information: Wayne Silver, Phonetime, President & CEO, (905)
361-8304, wayne@phonetime.com; Rodney Franklin, Phonetime, Chairman & CFO,
(905) 361-8305, rodney@phonetime.com; Joe Racanelli, Equicom Group, (416)
815-0700 x 243, jracanelli@equicomgroup.com

Organization Profile

PHONETIME INC.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890