Vaperma Inc., a Canadian Gas Separation Membrane Company, Closes a CAN$ 7.0 Million Financing Round

Quebec City, Quebec (ots/PRNewswire) - SAM Private Equity, a
Switzerland- based venture fund specialized in cleantech and
sustainability investments, led a Series A financing that totalled
CAN$ 7.0 million. The syndicate consisted of BDC Capital and Fonds
d'Investissement en Développement Durable (FIDD), two Canadian-based
investment funds, and an angel investors group from Europe and
Canada. Vaperma Inc. is active in the development and the
commercialization of advanced gas separation solutions for the
production of fuel ethanol, biodiesel and natural gas. Vaperma's
advanced polymeric membrane systems enable major energy costs savings
and reduction of green house gases and benzene emissions.

"The research team at Vaperma has developed and patented a
polymeric membrane technology that provides a means whereby water can
be separated from ethanol and natural gas in the vapor phase using
less energy than the traditional distillation and solvent-based gas
scrubbing processes. Our technology can save about 40% of energy
costs for the production of fuel-grade ethanol and 35% of operating
costs for the treatment of wet natural gas "said enthusiastically
Claude Létourneau, President and CEO of Vaperma. "We have a clear
value proposition for both the fuel ethanol and natural gas
processing markets".

We were very impressed by the global network and due diligence
process of the SAM team. We are convinced that SAM Private Equity,
FIDD and BDC Capital are the right partners to position Vaperma as a
world leader in gas separation solutions. Few investors in the
cleantech market cover this sector through a global network and put
much emphasis on the sustainability and product life cycle of their
investments.

"The management team at Vaperma has demonstrated outstanding
leadership qualities and commitment" said Luc Charron, Principal at
SAM Private Equity Sustainability Fund II LP. Vaperma has already a
lot of traction in the market place. Their Alpha product for the
ethanol market will be in field trial by July 2006 and plans are
underway for a demonstration project for the dehydration of natural
gas. Customer validation of Vaperma value proposition is well
underway. "The technology developed by Vaperma is an innovative
solution that will greatly contribute to the reduction of greenhouse
gas emissions" affirms Mrs. Andrée-Lise Méthot, President and Chief
Executive Officer of FIDD. Our investment is being enacted at the
most appropriate stage of Vaperma and its technology's development, a
period when the "life cycle" approach will induce the greatest
benefit and therefore lead to its adoption by clients in the ethanol
and natural gas sectors.

Vaperma is grateful to their angel investors, SOVAR, CNRC,
NRCan/CANMET and CQVB for their seed investment, support and
guidance. At the earliest stage of the technology development, SOVAR
helped the founder-researchers to identify the first commercial
applications for the membrane, to develop an IP strategy and to
recruit an experienced entrepreneur CEO needed to manage the high
growth start-up company.

Vaperma is a cleantech Quebec-based company specialized in the
development, manufacturing and commercialization of a new hollow
fibre polymeric membrane that allows high selective separation of
water from various gas mixtures and organic vapors. Vaperma membranes
are heat and solvent resistant. Membrane based technology offers an
alternative to conventional processes for the dehydration of ethanol
and natural gas and the removal of CO2. By offering Vaperma gas
separation systems, we provide enhanced value to our customers
through its superior performance and higher economic returns. Vaperma
growth strategy is to focus on continuously improving our gas
membrane separation technologies to meet the broadest needs of its
customers.

About SAM Private Equity:

SAM Private Equity is a leading international venture capital firm
focusing on emerging technologies in the energy, materials and water
sectors. Founded in 2000, SAM Private Equity is a pioneer in the
development of this fast growing "Cleantech" investment sector. With
assets under management of around EUR 150 million, 32 portfolio
companies and offices in Zurich and Montreal, SAM Private Equity
today is one of the internationally leading VCs in this sector. SAM
Private Equity manages two venture capital funds and two venture
capital mandates of large North American institutional investors. SAM
Private Equity's investors include CDP (Caisse de dépôt et placement
du Québec), SwissRe, EDF (Electricité de France), Norsk Hydro,
Ontario Power Generation, Hydro Quebec, Suncor and Mitsui. SAM
Private Equity is part of SAM Sustainable Asset Management,
headquartered in Zurich, Switzerland.

www.sam-group.com/

About FIDD

The Fonds d'investissement en développement durable (FIDD), L.P.
is a private investment fund and a leader in the financing of
businesses contributing to sustainable development. Founded in 2003,
FIDD focuses on solutions that reduce greenhouse gas emissions by
investing in clean technologies and renewable energy infrastructure.
FIDD is a pioneer recognized internationally for its use of the life
cycle approach not only in its investment process, but also in its
ability to create value for companies in its portfolio. The
Solidarity Fund QFL, Fondaction and the Fonds québécois pour le
développement durable (FAQDD) are among FIDD's investors.

www.fidd.qc.ca/

About BDC Capital Inc.

BDC Capital Inc. is a major venture capital investor in Canada,
active at every stage of a company's development cycle, from seed
through expansion. Its focus is on technology-based businesses with
high growth potential that are positioned to become dominant players
in their markets. Established in 1975, BDC Capital has invested in
over 400 firms to date. It currently manages some $550 millions in
venture capital investments in the life sciences, telecommunications,
information technology, and advanced technology sectors, as well as
investments in funds.

http://www.bdc.ca/

About SOVAR

SOVAR is a limited partnership whose mission is to promote the
discoveries and innovations developed by researchers at Université
Laval, the CHUQ and the CHRG. SOVAR's experts work in synergy with
the researchers to promote their projects. The products, processes,
services or technologies developed are ultimately transferred to
existing companies or to new companies created to bring them to
market.

www.sovar.com

About CQVB

The CQVB aims to stimulate, assist, guide and support at the
earliest stages in the innovation process, the development and
transfer of technology between researchers and small and medium-sized
firms in the life sciences sector. The CQVB is a liaison and transfer
centre supported by the Ministère du Développement économique, de
l'Innovation et de l'Exportation du Québec (MDEIE).

www.cqvb.qc.ca

ots Originaltext: Vaperma Inc.
Im Internet recherchierbar: http://www.presseportal.de

Contact:
For further information: Suzanne Roy, Director, Communications &
Marketing, Vaperma Inc., +1-(418)-839-6989, Fax: +1-(418)-834-8225,
sroy@vaperma.com, www.vaperma.com