Agility Health Announces Closing of $425,000 Private Placement

GRAND RAPIDS, MICHIGAN--(Marketwired - Dec. 19, 2014) -

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Agility Health, Inc. (TSX VENTURE:AHI) ("Agility Health" or the "Company"), a leading provider of physical rehabilitation and software services that benefit patients, healthcare providers and employers, is pleased to announce that it has closed a private placement offering (the "Private Placement") in the amount of 1,700,000 voting common shares ("Shares") at a price of $0.25 per Share, for gross proceeds of $425,000. It is anticipated that the Company will complete one or more additional tranches of the Private Placement up to aggregate gross proceeds of $1,500,000 in the coming weeks.

In connection with the Private Placement, it is anticipated that the Company will pay finder's fees of up to 7% of the gross proceeds of Shares purchased by investors procured through such finders (the "Finders' Investors") and will issue non-transferrable warrants to such finders equal to up to 7% of the Shares purchased by the Finders' Investors (the "Warrants"). Each Warrant will be exercisable by the holder to acquire one additional voting common share of the Company for a period of 2 years from issuance at an exercise price of $0.25 per share. In connection with the first tranche which closed today, the Company paid a total of $1,750 in finder's fees and issued 7,000 Warrants.

All transactions referred to in the release are subject to regulatory approval, including approval of the TSX Venture Exchange. For further details, please contact the Company. All securities issued in connection with the Private Placement are subject to a statutory hold period until April 20, 2015.

The net proceeds from the Private Placement will be used for general corporate and working capital purposes.

Certain related parties of the Company participated in the first tranche of the Private Placement and subscribed for an aggregate of 600,000 Shares. Participation of related parties of the Company in the Private Placement constitutes a "related party transaction" as defined under Multilateral Instrument 61-101 - Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Private Placement is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101, as neither the fair market value of securities being issued to related parties nor the consideration being paid by related parties will exceed 25% of the Company's market capitalization. The Company did not file a material change report 21 days prior to the closing of the Private Placement as the details of the participation of the related parties of the Company had not been confirmed at that time.