GeneNews Raises More Than $2 Million in Non-Brokered Private Placement

TORONTO, CANADA (December 22, 2009):

GeneNews Limited (TSX: GEN), an emerging molecular diagnostics and personalized health management company, today announced that it has accepted subscriptions for a non-brokered private placement offering of its common shares previously announced on December 9, 2009, for gross proceeds of $2,310,499.80. These private placement proceeds will result in the issuance of an aggregate of 5,134,444 common shares from treasury at a price of $0.45 per share. GeneNews will use the proceeds for general working capital purposes, expanding access to the ColonSentry™ test in Canada, the United States, Europe and Asia, and pipeline development.

The securities issued pursuant to the private placement are subject to the Canadian resale rules which include a four-month restricted period before the common shares may become freely-tradeable within Canada. The securities have not been registered under the U.S. Securities Act of 1933, as amended, or any state securities laws and, until so registered, may not be offered or sold in the United States or any state or to, or for the account of, U.S. persons absent registration or an applicable exemption from registration requirements. This release does not constitute an offer for sale of securities in the United States.

Holders of a majority of the Company's shares (excluding those shares held, directed or controlled by the deemed insider investment fund that participated in the private placement and its affiliates) provided their written consent for this private placement transaction. This offering provided the holders of the Company's convertible debentures with an opportunity to convert their debenture holdings into common shares of the Company. No holders of convertible debentures elected to convert their debentures pursuant to this conversion opportunity.

Forward-Looking Statements