VANCOUVER, BRITISH COLUMBIA, Mar 26 (MARKET WIRE) --
Galaxy Capital Corp. (TSX VENTURE:GXY) (the "Company" or "Galaxy") is
pleased to announce that it has arranged for a non-brokered private
placement of 12 million units at a price of 18 cents per unit. Each unit
will consist of one common share and one transferable eighteen month
share purchase half-warrant. Each half-warrant will be exercisable at a
price of 25 cents to purchase one additional common share of Galaxy.
Galaxy intends to use the funds with this private placement for
exploration and development on its graphite exploration projects in
Quebec and for general working capital.

    About Galaxy

    Galaxy Capital Corp is a publicly traded Canadian exploration company
which is focused on exploring and developing graphite properties,
especially in the Grenville geological province in eastern Canada. In
addition, the company is exploring a highly prospective gold property in
northeastern Saskatchewan, Brownell Lake.

    Sun Graphite Property, Quebec

    The Sun Graphite property consists of 4,200 hectares, located
approximately 145 km by road, north of Baie-Comeau, QC. The property is
owned 100% by Galaxy Capital Corp. The claim block hosts multiple targets
for large flake graphite, initially identified by Outokumpu Mines Inc. in
1998, looking for base metal mineralization.

    The property is located within the Central Metasedimentary Belt of the
Grenville Province of the Canadian Shield. This geological province is
characterized by a high level of metamorphism, critical in the
development of coarse flake graphite. This metamorphism is believed to
have occurred approximately one billion years ago.

    Within the property boundary, in excess of 25 km of conductive horizons
were identified from the airborne survey. All of this may be considered
prospective for graphite mineralization.

    Buckingham Graphite Property, Quebec

    The Buckingham Graphite property comprises two former producing mines,
located just east of Buckingham, QC. They are located in the highly
prospective Central Metasedimentary Belt of the Grenville geological
province, host to many active graphite projects. The host rocks for both
deposits are graphitic crystalline marbles, similar to the host
stratigraphy at Timcal's Lac des Iles graphite mine, currently Canada's
only producing graphite mine. The two properties cover a total of 1,324
Ha on 22 mining.

    Graphite Market

    Global consumption of natural graphite has increased from approx. 600,000
in 2000 to 1.2 MM t in 2012. Demand for graphite has been increasing by
approximately 5% per year since 2000 due to the ongoing modernization of
China, India and other emerging economies, resulting in strong demand
from traditional end uses such as the steel and automotive industries.
Graphite also has many important new applications such as lithium ion
batteries, fuel cells and nuclear and solar power that have the potential
to create significant incremental demand growth. There is roughly 20
times more graphite required by weight to produce a lithium-ion battery
than there is lithium. Demand for graphite is expected to rise as
electric vehicles and lithium battery technology are adopted as well as
increasing uses in new technology applications.

    Natural graphite comes in several forms: flake, amorphous and lump. Of
the 1.2 million tonnes of graphite produced annually, approximately 40%
is of the most desirable flake type. China, which produces about 73% of
the world's graphite, is seeing production and export growth leveling and
export taxes and a licensing system have been instituted. A recent
European Commission study regarding the criticality of 41 different
materials to the European economy included graphite among the 14
materials high in both economic importance and supply risk (Critical Raw
Materials for the EU, July 2010). Graphite prices have been increasing in
recent months and over the last couple of years prices for large flake,
high purity graphite (+80 mesh, 94-97%C) have more than doubled.

    Chris M. Healey, geologist, a Qualified Person as defined by National
Instrument 43-101, has reviewed and approved the technical content of
this release.

    ON BEHALF OF THE BOARD

    Chris M. Healey, President and CEO

    For further information, please visit the website at www.sedar.com to
view the Company's profile.

    We seek safe harbor.

    Neither TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.

Contacts:
Galaxy Capital Corp.
Chris M. Healey
President and CEO
604-921-1810
604-921-1898 (FAX)