Innolog Holdings Corporation (OTCPK:INHC) announced that it has entered into an equity line of credit for common shares with new investor Dutchess Opportunity Fund, II, LP managed by Dutchess Capital Management, LLC for gross proceeds of $5,000,000 on July 25, 2012. The investment will be made over a period of 36 months. The common stock will be issued at 95% of the lowest daily volume weighted average price of the common stock during the five trading days that comprise the defined pricing period. The amount requested by the company in each advance shall not exceed one hundred thousand dollars or two hundred percent of the average daily volume of the common stock based on the three trading days preceding the notice date. The common stock identified in the put notice shall be purchased for a price equal to the purchase price based on the five consecutive trading days immediately following the put notice date. Effective date shall mean the date the SEC declares effective under the 1933 Act the Registration Statement covering the securities. The company agreed to reserve a total of 5,000,000 shares of common stock for issuance and purchase pursuant to the investment agreement. Investor will not be entitled to purchase that number of shares, which when added to the sum of the number of shares of common stock beneficially owned by the investor, would exceed 4.99% of the number of shares of common stock outstanding on the closing date. The company has agreed for document preparation fees in the amount of $15,000 pursuant to the terms of the investment agreement. The company has paid $7,500 toward the preparation of the equity line transaction document and the remaining $7,500 will be immediately due upon signing of final documentation. If the company is not deposit withdrawal agent commission eligible at the time of a put closing, there will be a $2,000 charge on each closing date to cover costs associated with, but not limited to deposit costs, legal review fees and wire fees. If the company is deposit withdrawal agent commission eligible at the time of a put closing, there will be a $250 charge on each closing date. Open Period shall mean the period beginning on and including the trading day immediately following the effective date and ending on the earlier to occur of the date which is thirty-six months from the effective date or termination of the agreement. The securities will be issued pursuant to Regulation D. Richardson & Patel LLP will serve as the legal advisor to the company.