Mr. Robert van Santen reports

GENOVATION CAPITAL ANNOUNCES NEW DIRECTOR AND FUNDING

Genovation Capital Corp. has appointed John Binder as an independent director.

Mr. Binder is the founder, president and chief executive officer of Avmax Group Inc., a Calgary-based heavy aircraft maintenance and servicing facility, as well as a founder, chairman of the board and chief executive officer of R1 Airlines Ltd., and executive vice-president for Regional Express Aviation Ltd. Avmax owns, operates and leases over 100 aircraft worldwide. Prior to founding Avmax, Mr. Binder was president and owner of Western Avionics of Calgary, Canada's largest aircraft avionics company, now a division of the Avmax Group. A licensed aircraft engineer with over 45 years of experience in the aviation sector, Mr. Binder was recognized with the Ernst & Young Entrepreneur of the Year for the Prairies Regional award, and was the recipient of the Max Ward Aviation Maintenance Trophy for contributions to the aircraft maintenance industry in 2010. In addition to his work with Avmax, Mr. Binder applies his entrepreneurial expertise to various other business interests and is a significant shareholder of the company,

"We are very pleased to welcome John to Genovation's board. We believe that his depth of business experience and wide range of skills will assist in the development and execution of the company's overall strategy. We look forward to his contributions in maximizing value for all Genovation stakeholders," said Rob van Santen, chief executive officer of Genovation Capital.

Private placement

The company announces a non-brokered private placement of up to 3.5 million units at a price of 7.5 cents per unit for gross proceeds of up to $262,500. The net proceeds from the offering will be used by the company for assessment and due diligence costs associated with the company's search for business opportunities, and general working capital.

Each unit will consist of one common share of the company and one common share purchase warrant. Each warrant will entitle the holder thereof to purchase one common share at a price of 25 cents for a period of 24 months from the closing of the offering, subject to the acceleration provision described below. The units will be made available by way of prospectus exemptions in Canada and in such other jurisdictions as the company may agree where the units can be issued on a private placement basis, exempt from any prospectus, registration or other similar requirements.

The company will be entitled to accelerate the expiry date of the warrants to the date that is 30 days following the date the company issues a news release announcing that the published closing price of the common shares on the Canadian Securities Exchange has been equal to or greater than 35 cents for 10 consecutive trading days after the hold period on the common shares has expired.

The company may pay a finder's fee on the offering within the amount permitted by the policies of the exchange. Closing of the offering is subject to a number of conditions, including receipt of all necessary corporate and regulatory approvals, including the exchange. All securities issued in connection with the offering will be subject to a statutory hold period of four months plus a day from the date of issuance in accordance with applicable securities legislation.

Stock options

The company announces the grant of 875,000 incentive stock options to certain directors, officers and consultants of the company to purchase up to 875,000 common shares of the company as part of its compensation procedures. Of the options granted, a total of 675,000 options are being granted to directors and executive officers of the corporation. Options being granted have an exercise price of 10 cents per share and are exercisable for a period of five years from the date of grant, and vest in stages over the course of the first year with 25 per cent at the end of each three-month period.

The stock options are being granted pursuant to the terms of the company's stock option plan and are subject to regulatory approval. Options to purchase 1,325,000 common shares are now outstanding, which is equal to approximately 8.6 per cent of the number of issued and outstanding common shares.

We seek Safe Harbor.