Not for Distribution to U.S. Newswire Services or Dissemination in the United States

Company Website: http://somedia.net
VANCOUVER, British Columbia -- (Business Wire)

SoMedia Networks (TSX-V:VID). ("SoMedia" or the "Company") announces a private placement (“Private Placement”) of convertible debentures in the principal amount of US$1,500,000 (the "Debentures"). For each $25,000 in the principal amount of Debentures issued, the subscriber will receive 131,578 detachable common share purchase warrants (the “Warrants”), with each Warrant exercisable into common shares of the Company at a price of $0.25 per common share for a period of three years from the date of issuance. The Debenture will mature three years from the date of issuance and will bear interest at 12% per annum, compounded monthly with interest accruing and payable in full on the maturity date.

Each Debenture will be secured by granting the debentureholder (the "Holder") a security interest over all of the Company’s present and after-acquired property and assets as described in the Debenture. All security interests granted to the Holders will rank pari passu. The Holder may convert the Debenture any time. On conversion, the principal amount of the Debentures will be converted into shares of SoMedia at a price of $0.19 per Share.

SoMedia also announces that it has engaged the services of Scarsdale Equities LLC ("Scarsdale”) to assist with the Private Placement. Scarsdale is an institutional FINRA member broker/dealer and SIPC member with offices in New York, NY, and San Francisco, CA.

All securities issued in connection with the Private Placement will be subject to a hold period of four months plus one day from the date of issuance of the Debenture. Completion of the Private Placement is subject to various conditions including receipt of the approval of the TSX Venture Exchange. The proceeds from the Debentures are expected to be used for working capital purposes. Finder's Fees may be payable in connection with the Private Placement.

About SoMedia Networks
SoMedia Networks, the creator of Scalable Video, has reengineered how businesses access video content creation and production. The cloud-based SoMedia Platform allows businesses to easily order the production of custom video content at scale and volume, anywhere, on demand, with rapid turnaround, and at a fraction of current costs.

SoMedia provides Scalable Video as an integrated solution together with advanced video players, analytics and campaign management tools to corporate partners, as a resale solution through thousands of web marketing firms and directly to digital agencies and millions of SMBs across North America. To learn more visit: www.somedia.net .

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this press release.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the qualification under the securities laws of such jurisdiction.

This release contains "forward-looking information" that includes information relating to future events and future financial and operating performance.Specifically, this release contains forward-looking information related to future share issuances and regulatory approvals. Statements included in this announcement, including statements concerning our plans, intentions and expectations, which are not historical in nature are intended to be, and are hereby identified as, "forward-looking statements" for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words including "anticipates", "believes", "intends", "estimates", "expects" and similar expressions. Forward-looking information should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by which, that performance or those results will be achieved. Forward-looking information is based on information available at the time it is made and/or management's good faith belief as of that time with respect to future events, and such information is subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking information. Important factors that could cause these differences include but are not limited to: requisite regulatory approvals, pricing and assumptions, the business of the Company may suffer as a result of market prices, continued availability of capital and financing, and general economic, market or business conditions. You should not put undue reliance on any forward-looking information. We assume no obligation to update forward-looking information to reflect actual results, changes in assumptions or changes in other factors affecting forward looking information, except to the extent required by applicable securities laws. If we do update one or more forward-looking information, no inference should be drawn that we will make additional updates with respect to those or other forward-looking information.The Company cautions readers that forward-looking statements, including without limitation those relating to the company's future operations and business prospects, are subject to certain risks and uncertainties that could cause actual results to differ materially from those indicated in the forward-looking statements.

Contacts:

Company:
SoMedia Networks
George Fleming, 604-683-5510
Founder, Co-CEO
gfleming@somedia.net
or
U.S. Investors:
Liolios Group
Michael Koehler or Matt Glover, 949-574-3860
VID@liolios.com
or
Canadian Investors:
SoMedia Networks
Greg Werbowski, 604-683-5510 ext. 590
gwerbowski@somedia.net
or
Media:
Hotwire PR
Annette Leach, 415-840-2790
somedia@hotwirepr.com

Source: SoMedia Networks