July 29, 2010 (FinancialWire) (Go to http://www.financialwire.net/?s=ftrdnwswnd for all of today’s featured news.) — Pure Technologies Ltd. (TSX Venture: PUR) said that it has agreed with the shareholders of The Pressure Pipe Inspection Co. Ltd. to purchase all of the issued and outstanding shares of PPIC for up to $34.9 million in cash and common stock of Pure.

PPIC, a privately-held company with headquarters in Mississauga, Ontario, is specialized in large-diameter water and wastewater pipeline condition assessment.

The company is currently active in North America (including Mexico), South America, the Philippines and Hong Kong. For the fiscal year ended September 30, 2009, PPIC posted revenues of $14.6 million.

According to Pure, the base purchase price is $30 million with provision for a maximum additional payment of $4.9 million based on PPIC's revenues exceeding $20 million for the fiscal year ended September 30, 2010.

Pure said it expects that the consideration will be paid in the form of around 29% in cash and 71% in Pure common stock, to be issued, subject to TSX Venture Exchange approval, at $4.44 per share which issue price was negotiated as part of the transaction.

Emerald Technology Ventures, PPIC's largest shareholder, will have the right to nominate one director to Pure's board. Subject to TSX Venture Exchange approval upon closing the transaction, Scott MacDonald, partner with Emerald Technology Ventures, will join Pure's board.

Brian Mergelas will remain the CEO of PPIC until the transaction close, at which point he has agreed to accept the position of SVP for corporate strategy and development, with Pure.

The boards of both companies have approved the transaction, subject to certain conditions and to the approval of the TSX Venture Exchange. The transaction is scheduled to close on or before August 31, 2010.

Canada-based Pure Technologies is an international asset management technology and services company, which has developed, patented technologies for inspection, monitoring and management of critical infrastructure around the world.

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