Novadaq Corp. Releases Interim Results of SPY VICTORIA Cardiac Surgery Registry

TORONTO, ONTARIO--(Marketwire - January 26, 2009) - Novadaq® Technologies Inc. (TSX: NDQ), a developer of real-time imaging and image guidance systems for use in the operating room, announced today that Bruce Ferguson, MD, released the first results from the SPY® VICTORIA™ Cardiac Surgery Registry (“VICTORIA” or “Registry”) during the Society of Thoracic Surgery (STS) meeting in San Francisco, January 25-27, 2008. Dr. Ferguson is the Registry’s Principal Investigator and is Professor and Chairman, Department of Cardiovascular Sciences, East Carolina Heart Institute at East Carolina University.

VICTORIA was established by Novadaq to collect clinical and image data for the purposes of comparing the clinical outcomes of patients undergoing coronary artery bypass graft (“CABG”) surgery with SPY imaging to the STS National Cardiac Database (“STS Database”), a well established cardiac surgery outcomes benchmark.

To-date, eight cardiac surgery centers have contributed to VICTORIA and data from nearly 350 patients has been submitted for analysis. In his report, Dr. Ferguson released data that compared the outcomes of the first 144 patients enrolled in the Registry to the expected outcomes for CABG as reported by the STS Database. He concluded that:

- the patient population in VICTORIA is not substantively different from those patients in the STS database in demographics, medical histories or co-morbid conditions; and

- aggregate data suggest that the use of SPY in patients undergoing CABG resulted in consistently better outcomes as compared to the national benchmark for major morbidities including stroke, death, post-operative renal failure, prolonged ventilation, sternal wound infection and length of stay; and

- the reduction in the incidence of major adverse events in those patients imaged with SPY can result in significant cost savings for hospitals.

Dr. Ferguson commented, “It is not at all surprising that the presence of intra-operative imaging to guide and confirm success at the point of care might be expected to improve the overall quality of outcomes of revascularization procedures as it enables surgeons to perform the best possible procedure for each individual patient. It also allows surgeons to address any revascularization issues before closing the chest incision. It follows that the benefits derived from the use of SPY, compared to procedures where it is not used, would naturally drive down the short- and possibly long-term graft failure rates and increase the overall effectiveness of CABG surgery. These interim data from VICTORIA confirm the logic of that thinking. Indeed, evidence of the value of SPY imaging continues to mount.”

Dr. Arun Menawat, Novadaq’s President and Chief Executive Officer, said, “We continue to be very encouraged by the data that has been reported from a number of studies that have shown that the use of SPY results in better clinical outcomes compared to procedures where it has not been used. The Registry data is especially compelling as the comparative population is the absolute gold standard in cardiac surgery - the STS Database. It is well known that improvements in clinical outcomes result in cost savings which, in today’s environment, is critical to all hospitals. I want to thank all of the surgeons and scientists, like Dr. Ferguson, who have helped pioneer SPY and continue to work hard to drive the adoption of this technology. Because of their efforts, the lives of many patients with severe heart disease who undergo CABG will undoubtedly be both lengthened and improved.”

About Novadaq Technologies Inc.

Novadaq develops and commercializes real-time imaging and image guidance systems for use in the operating room. Novadaq’s technology uniquely enables surgeons to visualize blood vessels, tumors, tumor margins, blood flow and the lymphatic system in real-time during surgery. This core technology is now being applied to and across multiple surgical markets such as cardiac, plastic and reconstructive, urological, general, micro and transplant. The PINPOINT™ System for endoscopic autofluorescence imaging is Novadaq’s first minimally invasive product. PINPOINT allows surgeons to differentiate between healthy and cancerous tissue in the lung and other hollow organs. Expanding its portfolio of minimally invasive products, Novadaq’s SPY scope combines the typical features of a standard endoscope with the capabilities of SPY imaging. The SPY scope may unlock the full potential of certain minimally invasive surgeries by effectively addressing the limited field of vision that has until now constrained surgeons. Novadaq also leverages its core technology to offer the OPTTX® System, which is designed for use in the diagnosis, evaluation and treatment of wet Age-related Macular Degeneration (AMD). Novadaq is the exclusive United States distributor of PLC Medical’s CO2 HEART LASER™ System, which is used in the same cardiac procedures as the SPY Imaging System. For more information, please visit the company’s website at http://www.novadaq.com.

Forward-Looking Statements

Certain statements included in this press release may be considered forward-looking. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements, and therefore these statements should not be read as guarantees of future performance or results. All forward-looking statements are based on Novadaq’s current beliefs as well as assumptions made by and information currently available to Novadaq and relate to, among other things, results of future clinical tests of PINPOINT, SPY scope and the SPY Imaging System, anticipated financial performance, business prospects, strategies, regulatory developments, market acceptance and future commitments. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Due to risks and uncertainties, including the risks and uncertainties identified by Novadaq in its public securities filings actual events may differ materially from current expectations. Novadaq disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.