Working Ventures announced today, through a conference call, that GrowthWorks will assume the management responsibility for Working Ventures Canadian Fund and Working Ventures II Technology Fund.

“The merging of the Working Ventures and GrowthWorks teams is an ideal marriage between our extensive national experience and the excellent investment performance of GrowthWorks,” says Ron Begg, President and CEO of Working Ventures, a pioneer in Canada’s labour-sponsored venture capital industry. “GrowthWorks’ proven track record and outstanding service to shareholders and investment advisors ensures that the Working Ventures commitment to our supporters will be maintained and enhanced.”

With over $750 million in combined assets under management as a result of these new management arrangements, GrowthWorks, which is already the industry’s long term, top-performing manager, will become one of the largest venture capital fund managers in Canada. It will be able to operate the funds at a lower cost to shareholders than would otherwise be the case.

“We were attracted to Working Ventures because of its national presence and established platform across the country, with offices and highly qualified staff in Toronto, Saskatoon and Halifax,” says David Levi, president & CEO of GrowthWorks. “We believe our distinctive investment management approach will generate excitement in the market and build on the legacy of the Working Ventures founders.”

The GrowthWorks’ proposal was selected by Working Ventures based on a number of criteria including investment performance, competitive management fees and investment and marketing experience with labour-sponsored venture capital funds. The transaction is yet to be approved by shareholders, who are scheduled to review the matter on November 25, 2002.

The transition of management services is expected to take place over the next twelve months. During the transition period, it is proposed that all of the shares of Working Ventures Investment Services Inc., the current manager of the Working Ventures Funds, will be sold to a subsidiary or affiliate of GrowthWorks Ltd. GrowthWorks will pay for the fees and costs associated with the transaction up to $500,000.