Toronto, October 29, 2008 – VenGrowth Asset Management Inc. and its affiliates (“VenGrowth”) today announced the successful exit of its investment in insurance firm Focus Group Inc. (“Focus Group”).

The VenGrowth Traditional Industries Fund Inc. and The VenGrowth II Investment Fund Inc. provided a subordinated loan of $5 million to Focus Group in September 2004. The loan was used as part of the funding required to establish a specialty insurance company – Omega General Insurance Company (“Omega”) – to facilitate the exit of foreign insurance companies operating in Canada

The Funds received principal and interest payments over the four-year term of the loan and also received a payment based on the equity appreciation of the group of companies over the life of the investment.

“VenGrowth was there for us when we needed financial assistance to grow our business and capitalize on new opportunities in our marketplace,” said Philip H. Cook, Chief Executive Officer, Omega Insurance Holdings and Focus Group Inc. “They took the time to understand our business plan and added value to the enterprise. Other funding sources and conventional banking facilities failed to provide the support we needed. Without VenGrowth’s support we would not have been able to succeed.”

About VenGrowth MezzGrowth Group

VenGrowth MezzGrowth Group specializes in financing solutions for mid-market Canadian companies in traditional manufacturing and services industries that are expected to generate sustainable cash flows. The Group primarily invests using debt instruments with the objective of generating interest and dividend income. In addition, participating VenGrowth Funds will typically hold equity interests alongside the loans with the intention of generating long-term capital appreciation. Formed in 2003, the Group had invested over $140 million into 19 companies as at September 2008. The Group is led by Graham McBride, a highly regarded mezzanine financing expert with over 20 years of experience.

Media Inquiries:
Angus Fisher
Director, Communications & Media
VenGrowth Asset Management Inc.
416.628.9255
afisher@vengrowth.com

Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus of the Funds before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Units of the Funds are sold through registered dealers.