For Immediate Release

OMT ANNOUNCES CLOSING OF FINANCING

Winnipeg, Manitoba, December 20, 2004 – OMT Inc. (“OMT”) (TSX Venture: OMT) announced today that it has raised approximately $1.4 Million in new investment through a private placement offering and completed a financial restructuring of OMT. Subsequent to this closing, OMT will continue the same offering at the terms as defined below, which will allow for additional investment of up to $400,000.   

OMT has completed the private placement offering (the “Offering”) of $1,000,000 principal amount of 4 year 8% subordinate convertible redeemable debentures (the “Debentures”) to subscribers resident in the Provinces of Manitoba and British Columbia. The Debentures are convertible into common shares of OMT at a price equal to $0.10 per share for two years, $0.11 in year three and $0.12 in year four.  The Debentures are subject to a four month hold period pursuant to applicable securities law and the policies of the TSX Venture Exchange.

Wellington West Capital Inc. (“Wellington”), an independent investment dealer with offices located throughout Canada, acted as the principal agent on a best efforts basis with respect to the Offering. Wellington and certain subagents who assisted with the Offering were paid a commission of 7% of the gross proceeds of the Offering, which is equal to $70,000. Wellington and certain of its subagents also received an aggregate of 100,000 broker warrants of OMT. Each broker warrant entitles the holder thereof to purchase one common share of OMT at a price of $0.10 for a period of two years from the date of issuance.

Concurrently with the closing of the Offering, OMT completed the conversion of a loan of $570,116 (including outstanding interest) from ENSIS Growth Fund Inc. (“EGF”) into a 4 year 8% subordinate convertible redeemable loan having substantially the same terms as the Debentures. OMT also completed the subscription by EGF for an additional 4 year 8% subordinate convertible redeemable loan in the amount of $429,884 on substantially the same terms as the Debentures.

Mark Ahrens-Townsend, Vice President, Investments at ENSIS, states, “We independently analyzed the market opportunity and competitive environment in relation to the company. We believe that the company is very well-placed in the industry and positioned for strong and profitable growth.”

Concurrently with the foregoing transactions, OMT completed the redemption of all of its issued and outstanding preferred shares (the “Preferred Shares”) for a total value of $3,702,784. The Preferred Shares were held by Renaissance Capital Manitoba Ventures Fund Limited Partnership (“Renaissance”), EGF and ENSIS Investment Limited Partnership (“EILP”). $2,000,000 of the redemption price of the Preferred Shares, being the stated capital amount of the Preferred Shares, was satisfied by the issuance of an aggregate of $2,000,000 principal amount of convertible loans on substantially the same terms as the Debentures to Renaissance, EGF and EILP. The remainder of the redemption price of the Preferred Shares, being the interest owing on the Preferred Shares, was satisfied by the issuance of an aggregate of 17,027,840 common shares of OMT to Renaissance, EGF and EILP at a deemed price of $0.10 per common share.

“We are pleased with the level of financing that was raised within just five weeks of issuing this offering, especially during the holiday season. We believe this clearly indicates that the market sees the same sizeable opportunity that we do in the entertainment broadcast industry. The expanded support of ENSIS, one of our strategic investors, also underscores this belief,” states Scott Farr, President and CEO of OMT Inc. “We plan to launch our aggressive marketing and sales programs in the first quarter of 2005. With the continuance of this offering, we will also have sufficient time to discuss further investment from strategic accredited private investors and companies in the USA and Canada,” adds Farr.

The terms of the foregoing transactions are still subject to the final approval of the TSX Venture Exchange.

About OMT
OMT Inc. (TSXV:OMT) is a technology and multi-media content solution provider to the entertainment and broadcast industry. Intertain Media, the digital entertainment division, and iMediaTouch, the radio broadcast solution group, distribute multi-media content that is heard by millions of people worldwide every day through television, radio, satellite, cable and Internet broadcasts. To learn more about the Company, visit its websites at www.omt.net, www.intertainmedia.com, and www.imediatouch.com.

FOR FURTHER INFORMATION PLEASE CONTACT:
Scott Farr
Tel: 204.795.0790
Email: sfarr@omt.net

Marieke Wijtkamp, OMT Chief Operating Officer
Phone: (204) 975-0792
Email: mwijtkamp@omt.net

The TSX Venture Exchange has not reviewed or approved the contents of this press release and does not accept responsibility for the adequacy or accuracy of this press release.

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