Mr. Aleem Nathwani reports

SBD CAPITAL CORP. ANNOUNCES CLOSING OF PRIVATE PLACEMENT

SBD Capital Corp. has completed a non-brokered private placement financing of 30 million units in the capital of the company at a price of 2.5 cents per unit for gross proceeds of $750,000.

Each unit comprises one common share in the capital of the company and one common share purchase warrant. Each warrant shall entitle the holder thereof to purchase one common share at a price of five cents per common share for a period of four years from the date of closing.

Gross proceeds raised from the offering will be used for working capital and general corporate purposes. Closing of the offering is subject to receipt of all necessary corporate and regulatory approvals, including the approval of the Canadian Securities Exchange. All securities issued in connection with the offering will be subject to a hold period of four months plus a day from the date of issuance and the resale rules of applicable securities legislation.

The offering constituted a "related party transaction" as defined in Multilateral Instrument 61-101 -- Protection of Minority Securityholders in Special Transactions (MI 61-101), as certain insiders of the company acquired 2,631,600 units. The transaction is exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(1)(a) of MI 61-101, as the company is not listed on a specified market, and the fair market value of the participation in the offering and debt settlement by insiders does not exceed 25 per cent of the market capitalization of the company, as determined in accordance with MI 61-101. The company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the first tranche of the offering, which the company deems reasonable in the circumstances in order to complete the offering in an expeditious manner.

We seek Safe Harbor.