Enterprise Group, Inc. Announces Closing of Private Placement of $4.12 Million in Common Shares

Marketwired

ST. ALBERT, ALBERTA--(Marketwired - May 28, 2013) - Enterprise Group, Inc. ("Enterprise" or the "Company") (TSX:E) announces that it has closed its previously announced brokered private placement ("Offering") with a syndicate of agents led by M Partners Inc. and including Beacon Securities Limited (together the "Agents"), pursuant to which the Company issued 8,587,586 common shares of Enterprise ("Common Shares") at a price of $0.48 per Common Share for gross proceeds of approximately $4.12 Million. All securities issued in connection with the Offering will be subject to a hold period of four months and one day from closing.

On closing the Agents received a cash commission in an amount equal to 6% of the aggregate gross proceeds of the Offering. In addition, on closing the Company issued to the Agents 515,255 common share purchase warrants (the "Broker Warrants"), which is equal to 6% of the number of Common Shares sold pursuant to the Offering. Each Broker Warrant will entitle the holder thereof to purchase one Common Share ("Broker Share") at a price of $0.49 per share at any time prior to the date that is 12 months from closing.

The net proceeds of the Offering will be used for capital expenditures related to Artic Therm International Ltd., acquisition and integration costs associated with the transaction announced February 28, 2013 in the event of completion of that transaction, and for general working capital purposes.

Further to the Corporation's May 17, 2013 press release, the Corporation obtained consent from shareholders representing a majority of shares of the Corporation with respect to the Offering and in satisfaction of certain Toronto Stock Exchange requirements.

The Offering did not materially affect control of the Company and no new persons or entities became holders of 10% of the outstanding Common Shares as a result of the Offering. No insiders of the Company participated in the Offering.

About Enterprise Group, Inc.

Enterprise Group, Inc. is a consolidator of construction services companies operating in the energy, utility and transportation infrastructure industries. The Company's focus is primarily utility & infrastructure construction and specialized equipment rental. The Company's strategy is to acquire complementary service companies in Western Canada, consolidating capital, management and human resources to support continued growth. Enterprise became a Western Canadian leader in flameless heat technology in September 2012 with its acquisition of Artic Therm International Ltd. and is poised to become a technological leader in underground infrastructure construction upon closing of its pending infrastructure construction acquisition.

Forward Looking Information

Certain statements contained in this news release constitute forward-looking information. These statements relate to future events or the Company's future performance. The use of any of the words "could", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, statements with respect to the use of proceeds. The Company's Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website www.sedar.com) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. The Company disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.

Contact:
First Canadian Capital Corp.
Daniel Boase
416-742-5600
DBoase@firstcanadiancapital.com
Enterprise Group, Inc.
Leonard D. Jaroszuk
President & CEO
780-418-4400
Enterprise Group, Inc.
Desmond O'Kell
Vice President
780-418-4400
contact@EnterpriseGRP.ca
www.EnterpriseGRP.ca

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