Novadaq Corp. to Launch SPY-Q Image Analysis Tools at STSM Meeting

TORONTO, ONTARIO--(Marketwire - January 22, 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 it is commercially launching its newest product, SPY-Q Image Analysis Tools, at the Society of Thoracic Surgery (STS) meeting in San Francisco, January 25-27, 2008. The STS is the largest meeting of cardiac surgeons held annually in North America.

While performing heart bypass surgery, SPY-Q uniquely enables cardiac surgeons using Novadaq’s SPY Imaging System (“SPY”) to objectively measure increases in fluorescence by comparing pre- and post-bypass images. Increases in fluorescence are reported as a percentage and are associated with improvements in blood flow which are, in turn, indicative of overall perfusion to the heart achieved during the operation.

“The goal of any bypass operation is to improve heart function by increasing perfusion to the muscle by creating a graft. The combination of SPY images and the new SPY-Q analysis tools provides more valuable data about blood flow and perfusion to heart muscle than ever before. Surgeons can use SPY-Q to compare pre-and post grafting images and thereby assess the improvements achieved by the bypass procedure. SPY and SPY-Q data can be used as a means of achieving the most durable and optimal procedure possible. Cardiac surgeons can also speak more specifically to a patient about the improvements that resulted from their surgery,” said Bruce Ferguson, MD, Professor and Chairman, Department of Cardiovascular Sciences, East Carolina Heart Institute at East Carolina University.

The SPY-Q post-processing software analysis tools will be sold as an upgrade to the SPY Imaging System. While SPY-Q is ideal for use during cardiac surgery, it was also developed for use in other surgical specialties. Novadaq believes that SPY-Q may significantly advance surgical procedures such as breast reconstruction, where adequate tissue perfusion is critical to achieving optimal outcomes and reducing the potential for costly and emotionally devastating post-operative complications.

Dr. Rick Mangat, Novadaq’s Sr. Vice President and General Manager, said, “SPY-Q was developed as a result of direct feedback from our surgeon customers. These surgeons rapidly recognized that SPY imaging positively contributed to surgical decision making and post-operative outcomes for patients. Still, they suggested that the value of SPY would be further enhanced if we were able to combine the delivery of SPY images with an objective analysis of the imaging data. Feedback from those surgeons who have used SPY-Q during pre-launch has been extremely positive and we are confident that these tools will help further drive surgeon and surgery center awareness, acceptance and adoption of SPY going forward.”

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 by the same cardiac surgeons that perform SPY imaging procedures. 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.