Axiotron, Inc., high-tech solution hardware provider, announced that the TSX Venture Exchange has conditionally approved a proposed transaction with Toronto-based Vendome Capital Corp. that would raise, subject to the deal's closure, at least $5 million and authorize Axiotron's shares to trade publicly at the TSX Venture Exchange in Toronto, Ontario.

The operations of Axiotron, under the proposed transaction, would be folded into a capital pool company with cash assets but no operations, Vendome, and the resulting company would be renamed Axiotron Corp. On the TSX Venture Exchange, shares of Axiotron Corp. would then be listed, one of Canada's two major stock exchanges. Conditioned on final approval from the TSX Venture Exchange, Axiotron anticipates the proposed transaction will close by June 30, 2008,.

Axiotron Corp.'s operations and corporate headquarters would remain in El Segundo, California, their current location.

Net proceeds from the proposed transaction would be used to finance continued production of the Axiotron's award-winning tablet Mac computer, Modbook, and for general working capital purposes and product development initiatives.

Andreas E. Haas, the founder and current chief executive officer of Axiotron, providing continuation of the vision and leadership that has guided Axiotron for over three years, would become the CEO of Axiotron Corp. The current president and chief financial officer of Vendome, Claude Ayache, would be appointed as the CFO of Axiotron Corp. Both Mr. Haas and Mr. Ayache would also serve on Axiotron Corp.'s board of directors. The managing partner of the Toronto and Ottawa, Ontario-based business advisory and corporate finance firm NorthCrest Partners Inc., Mark Lawrence,  would become chairman of the board of directors of Axiotron Corp.

Axiotron, as part of the proposed transaction, has engaged Toronto, Ontario-based investment dealer Fraser Mackenzie Limited as the lead agent to raise at least $5 million in a concurrent private placement. Also participating in the concurrent private placement are Toronto, Ontario-based investment banks Dominick & Dominick Securities Inc., and M Partners Inc.