Mr. John Farlinger reports

URBAN COMMUNICATIONS INC. ANNOUNCES INCREASE IN PRIVATE PLACEMENT DUE TO DEMAND

Urban Communications Inc. has received conditional approval from the TSX Venture Exchange to increase the private placement announced June 30, 2016, from five million units to up to 7.5 million units, with the right to increase that amount to 12.5 million units. The purchase price remains 10 cents per unit for aggregate gross proceeds to Urban of up to $750,000, with the right to increase that amount to $1.25-million. Each unit comprises one common share and one share purchase warrant, and a warrant will entitle the holder to purchase one common share for 20 cents within 24 months from the closing date. The financing will close in one or more tranches on such dates to be determined by the company. Funds from the financing will be used for working capital during the next six months.

The company has received an extension to close the private placement until Aug. 24, 2016.