Edleun's $5 million financing helps fund growth strategy in Canadian child care space

CALGARY, May 29, 2012 /CNW/ - Edleun Group, Inc. ("Edleun" or the "Company") (TSX-V: EDU), the leading provider of quality early childhood education and care in Canada, announced today the completion of a private placement offering of $5 million aggregate principal amount of 6.75% convertible unsecured subordinated debentures due May 15, 2017 (the "Debentures").

The proceeds of this offering will be utilized to acquire and improve existing child care centres and to develop additional centres to meet unsatisfied demand in Alberta, Ontario, and British Columbia while providing Canadian parents and children with quality facilities and programs.

The Debentures are convertible at the option of the holders into common shares of Edleun at a conversion price of $1.10 per share (the "Conversion Price") (being a conversion rate of approximately 909.091 shares per $1,000 principal amount of Debentures) until May 15, 2017.

The Debentures are redeemable by the Company between May 15, 2015 and May 15, 2016 provided the market price of the common shares of the Company is greater than or equal to 125% of the Conversion Price and thereafter until maturity redeemable at their principal amount plus accrued interest. The Company may, at its option, pay interest on the Debentures by delivering shares to the trustee for sale.

The Debentures are issued under the Company's indenture dated May 24, 2012.

About Edleun Group, Inc.
Edleun is the leading provider of high-quality, community-based Early Learning & Care child care centres in Canada offering early education and child care services to children ages six weeks to 13 years. Edleun is committed to preparing children for the next step in their education and life, offering families and employers access to and choice of quality early childhood education programs, as well as enhanced opportunities and career advancement for Early Childhood Educators.

Publicly traded on the Toronto Stock Exchange (TSX-V:EDU), the Company's objectives include the acquisition and subsequent improvement of existing child care centres and developing new state-of-the-art Early Learning and Care Centres in underserved Canadian communities.

The Company currently has a total 41 centres in its portfolio and five in various stages of development or redevelopment representing 4,939 licensed child care spaces.

FORWARD-LOOKING STATEMENTS:
Certain statements in this release which are not historical facts may constitute forward-looking statements or forward-looking information within the meaning of applicable securities laws ("forward-looking statements"). Any statements related to Edleun's projected revenues, earnings, growth rates, revenue mix, staffing and resources, and product plans are forward looking statements as are any statements relating to future events, conditions or circumstances. The use of terms such as "believes", "anticipated", "expected", "projected", "targeting", "estimate", "intend" and similar terms are intended to assist in identification of these forward-looking statements. Readers are cautioned not to place undue reliance upon any such forward-looking statements. Such forward-looking statements are not promises or guarantees of future performance and involve both known and unknown risks and uncertainties that may cause the actual results, performance, achievements or developments of Edleun to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements. Forward-looking statements are based on management's current plans, estimates, projections, beliefs and opinions. Except as required by law, Edleun does not undertake any obligation to update forward-looking statements should assumptions related to these plans, estimates, projections, beliefs and opinions change. The Company undertakes no obligation, except as required by law, to update publicly or otherwise any forward-looking information, whether as a result of new information, future events or otherwise, or the above list of factors affecting this information. Many factors could cause the actual results of Edleun to differ materially from the results, performance, achievements or developments expressed or implied by such forward-looking statements.

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.

Dale Kearns, President of Edleun Group, Inc. at [phone], or Nick Hurst of the Equicom Group, Inc. at [phone].