EGC.H Quantum International Income Corporation

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROUGH UNITED STATES NEWSWIRES 

E.G. Capital Inc. ("E.G." or the "Company") (TSX VENTURE:EGC.H) is pleased to
announce that it has entered into a financing and reorganization agreement (the
"Reorganization Agreement") with Grant White (the "New CEO") which, among other
things, contemplates: (i) the consolidation of its common shares on a 10 for 1
basis; (ii) a non-brokered private placement financing for gross proceeds of up
to $200,000 (the "Private Placement"); (iii) the appointment of the New CEO;
(iv) the appointment of new directors (the "New Board"); and (v) a change of the
name of E.G. to Quantum International Income Corp. (collectively, the
"Transaction"). Completion of the Transaction is subject to standard closing
conditions, including the approval of each of the NEX board of TSX Venture
Exchange Inc. (the "TSXV") and the shareholders of E.G.


New Chief Executive Officer 

Effective immediately, Grant White will take over the office of Chief Executive
Officer of E.G. Prior to closing, it is expected that additional members will be
added to the management team. It is also proposed that new directors will be
added post-closing of the Transaction. 


Grant White has over 20 years of investment banking experience in New York,
Toronto and San Francisco. He is the founder, in 2011 of Finao Advisory
Corporation which provides executive and transaction advisory consulting
services to companies, including acting as CEO to Focus Gold Corporation in the
US from 2010-2012. Previously he was Global Head of Capital Markets for Pope and
Company in 2009. He was formerly head of investment banking at Blackmont Capital
from 2005 to 2008 which he helped grow to a leading independent investment
dealer in Canada. He has also held positions at CS First Boston, Gleacher
NatWest and Westwind Partners in Toronto. Throughout his career he has completed
significant M&A transactions and financings. He was also very active in the
creation and financing of several income trusts that employ business strategies
which are similar to the proposed new corporate strategy of E.G.


Corporate Strategy 

The Company intends to seek opportunities to acquire and grow businesses in
order to generate stable distributions for its shareholders, as well as to
achieve overall capital appreciation. The Company will seek to acquire operating
businesses with a proven track record, an opportunity for growth and whose
management wishes to continue to operate the business going forward. 


The Company's investment approach will be to grow through the acquisition of
"platform" businesses that are consistent with its business strategy and
acquisition criteria and then to continue to build revenues and earnings within
these businesses. Potential acquisition targets may be private or public
companies in a variety of industries, thereby allowing for diversification.
Acquisition of all or a majority of the ownership of each such business is
preferred. Value will be created by seeking out high growth, high margin
opportunities where the acquired businesses can maintain and develop the deep
knowledge, expertise and understanding of their customers' needs required to
deliver superior service and command higher pricing and margins than the
competition. 


New Name 

Upon closing of the Transaction and receipt of stock exchange and shareholder
approval, it is expected that the name of the Company will be changed to Quantum
International Income Corp.


Share Consolidation 

Prior to the completion of the Transaction and subject to shareholder and
regulatory approval, E.G. expects to consolidate its shares on 10 for 1 basis
(the "Consolidation"), with the result being that the number of
post-consolidation common shares (the "Post-Consolidation Shares") outstanding
is expected to be reduced from 19,014,974 to 1,901,497.


Private Placement 

Pursuant to the Private Placement, the New CEO, together with certain additional
subscribers identified by him, will subscribe for up to 4,000,000 units
("Units") of E.G. (on a post-Consolidation basis) at a price of $0.05 per Unit
for total proceeds up to $200,000. Each Unit will be comprised of one
Post-Consolidation Share and one share purchase warrant ("Warrant"), each
Warrant entitling the holder to purchase one Post-Consolidation Share at a price
of $0.10 for a period of one year from the date of issue. In the event of and in
connection with any transaction which results in the graduation of E.G. from a
listing on the NEX market of the TSXV to a listing on Tier 1 or Tier 2 of the
TSXV, E.G. shall file an application to the TSXV to amend the expiry date of the
Warrants to be the date that is five years from the the date of issue. 


The proceeds of the Private Placement will be used for general corporate purposes.

Board of Directors Recommendation 

The board of directors of E.G. has determined that the Transaction is in the
best interests of the shareholders of E.G., and has unanimously approved the
components of the Transaction and recommends that the shareholders of E.G.
approve same. 


The members of the board of directors and the officers of E.G., who, in the
aggregate, with their spouses, control approximately 34.9% of the common shares
of E.G., have entered into support agreements or agreed to enter into support
agreements with the New CEO pursuant to which each has agreed, among other
things, to vote his or her shares to approve the Transaction. 


The Reorganization Agreement 

The Reorganization Agreement contains a number of customary representations,
warranties and conditions, including receipt of all necessary regulatory and
shareholder approval, and provides for a non-completion fee of $20,000 payable
by E.G. to the other party in certain circumstances. The complete Reorganization
Agreement will be accessible on E.G.'s SEDAR profile at www.sedar.com. 


Note Regarding Forward-Looking Information 

Certain information in this news release constitutes forward-looking information
under applicable securities law. Any statements that are contained in this news
release that are not statements of historical fact may be deemed to be
forward-looking information. Forward-looking information is often identified by
terms such as "may", "should", "anticipate", "expect", "intend" and similar
expressions. Forward-looking information in this news release include, but are
not limited to, information with respect to the completion of the transactions
contemplated by the Reorganization Agreement. Forward-looking information
necessarily involve known and unknown risks, including, without limitation,
risks that required shareholder, regulatory and third party approvals and
consents are not obtained on terms satisfactory to the parties within the
timelines provided for in the Reorganization Agreement; risks that other
conditions to the completion of the Transaction are not satisfied on the
timelines set forth in the Reorganization Agreement or at all; inability to
access sufficient capital from internal and external sources, and/or inability
to access sufficient capital on favourable terms; industry and government
regulation; changes in legislation, income tax and regulatory matters; the
ability of E.G. to implement its proposed corporate strategy; competition;
currency and interest rate fluctuations; and other risks. Readers are cautioned
that the foregoing list is not exhaustive. 


Readers are further cautioned not to place undue reliance on forward-looking
information as there can be no assurance that the plans, intentions or
expectations upon which they are placed will occur. Such information, although
considered reasonable by management at the time of preparation, may prove to be
incorrect and actual results may differ materially from those anticipated. The
forward-looking information in this news release is based on certain key
expectations and assumptions made by E.G., including expectations and
assumptions concerning timing of receipt of required shareholder and regulatory
approvals and the satisfaction of other conditions to the completion of the
Transaction. Forward-looking information contained in this news release are
expressly qualified by this cautionary statement. 


The forward-looking statements contained in this press release are made as of
the date hereof and E.G. undertakes no obligation to update publicly or revise
any forward-looking statements or information, whether as a result of new
information, future events or otherwise, unless so required by applicable
securities laws.


Neither the 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.


FOR FURTHER INFORMATION PLEASE CONTACT: 
E.G. Capital Inc.
Keith Eaman
President
(514) 299-7077


E.G. Capital Inc.
Grant White
(416) 827-7167

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