PRIVEQ Capital Funds

PRIVEQ Capital Funds divests portfolio company - Nor-Don Collections Network Inc.

TORONTO, CANADA - PRIVEQ Capital Funds ("PRIVEQ") is pleased to announce the divestiture of Nor-Don Collection Network Inc. ("NCN") a portfolio company in PRIVEQ II Limited Partnership to management. The management buyout of NCN was led by the President and CEO Mr. Paul Moraes. He was recruited by PRIVEQ and has been the President and CEO of NCN's operations since December of 2000. Mr. Moraes has over 23 years of industry experience.

PRIVEQ co-led a buyout of NCN from the Hudson's Bay Company in 1999. Under PRIVEQ's ownership, the Company underwent many growth initiatives including landing several major government contracts, adding numerous 'blue-chip' clients and it successfully entered the U.S. market.

"PRIVEQ is delighted with the success of NCN as an investment in PRIVEQ II. There were several major initiatives which were undertaken by management while under PRIVEQ's ownership. PRIVEQ is pleased that the management team stepped up to buy NCN and we wish them great success going forward." states Brad Ashley, Managing Partner at PRIVEQ Capital Funds.

About Nor-Don Collection Network Inc.

Founded in 1964, NCN is a leading provider of contingency collection and accounts receivable management outsourcing services to Canadian and U.S. credit grantors in the financial services, government, cable, telecommunications and utility sectors. NCN is one of the six largest Canadian-based collection agencies. Headquartered in Toronto, Ontario, the Company is a National Collection Agency in Canada, with branch locations in Toronto, Montreal, Vancouver, Edmonton, Calgary and Winnipeg. NCN has over 250 employees throughout Canada and has expertise in managing inventory in excess of $500 million Canadian.

For more information about Nor-Don Collection Network Inc. please visit www.ncn.ca.

About PRIVEQ Capital Funds

Founded in 1994, PRIVEQ manages several private equity portfolios with assets of $85 million. In April 2006, PRIVEQ completed the final closing of PRIVEQ III Limited Partnership, the firm's third private equity fund. Led by BDC Venture Capital, Teachers' Private Capital and Export Development Canada, total committed capital for PRIVEQ III Limited Partnership is $57 million. PRIVEQ provides tailor-made equity solutions to profitable and growing companies through a highly expedited investment approach coupled with real value-added assistance post-investment. PRIVEQ invests initial equity capital of $3 - $7 million for expansion capital purposes as well as to facilitate management buy-outs and buy-ins for profitable niche service, distribution, and manufacturing companies located within 5 hours of Toronto, Canada.

Contact Information

PRIVEQ Capital Funds
1500 Don Mills Road, Suite 711
Toronto, Ontario, M3B 3K4

Tel: (416) 447-3330
Fax: (416) 447-3331

Brad Ashley, Managing Partner ______________ Ext. 222
Kevin Melnyk, Partner ______________________Ext. 230
Lee Grunberg, Vice President ________________Ext. 232
Jennifer Wang, Associate ___________________Ext. 233

For additional information about PRIVEQ Capital Funds, please visit www.priveq.ca.