Private Equity Week Wire for Tuesday 5/22

CALGARY, ALBERTA — Megawheels Inc., the global leader in technology-driven, Web-to-print publishing solutions for the
newspaper advertising sector, today announced that it has completed its previously announced $5 million financing. Total funds raised in this financing equal $5,015,000.
Led by the U.S. venture capital group Venture Investment Management Company LLC (VIMAC) of Boston, Massachusetts, the convertible preferred offering, priced at $0.20 per
share, includes existing shareholders, eLab Technology Fund, Royal Bank Capital Partners, a division of the Royal Bank of Canada, as well as individual investors, Directors and
Officers of Megawheels.

NEW YORK — The Jordan, Edmiston Group Inc. announced today that Roger L. Krakoff has joined the New York
City-based media investment bank and its affiliated venture capital fund, JEGI Capital, as
Managing Director.

Jordan Edmiston is an investment bank dedicated to serving leading companies in the
publishing, information, tradeshow and software industries. Its clients range from the
largest media and information companies to entrepreneurs seeking to take their
businesses to the next stage of development. Mr. Krakoff, 41, Managing Director, brings a unique blend of investment banking, venture
capital, media and technology industry experience with him to the firm. Prior to joining
Jordan Edmiston, Roger was a Managing Director of Veronis Suhler, where he was
responsible for directing their Business Information and New Media Group. During his
tenure at Veronis Suhler, Roger completed numerous M&A / Corporate Finance
transactions in the areas of e-content, e-commerce, new media and interactive services.

SAN FRANCISCO — Thomas Weisel Partners LLC (TWP), a
merchant bank exclusively focused on the growth sectors of the economy,
announced today that it has closed its early stage venture fund, Thomas Weisel
Venture Partners L.P. (TWVP). TWVP closed on $255 million in commitments,
exceeding its target of $250 million. The Fund, based in Menlo Park,
California, will focus on early stage investments in emerging technology
infrastructure companies in the communications, software and Internet sectors.

CONCORD, MA — Kodiak Venture Partners, a seed
and early stage venture capital firm, today announced that it has closed its second fund,
Kodiak Venture Partners II, L.P. (KVP II). Initially targeted at $250 million, the fund closed at
$290 million and included all of the institutional and corporate investors from Kodiak’s first
fund, as well as a number of new institutions and individuals from the technology industry.
Kodiak’s first fund, Kodiak Venture Partners, L.P. (KVP I), closed at $70 million in
November 1999.


SANTA CLARA, CA — NetContinuum, an emerging provider of
Internet data center infrastructure, today announced it has received $26 million in second
round financing.

NIF Ventures/Daiwa Securities Group led the second round, with additional funding by new
investors Adams Street Partners, Invus Group and Siemens Venture Capital. Menlo
Ventures, which led the first round of financing, demonstrated strong support by
significantly increasing its participation in the second round.

NEW YORK — Continuing to grow its leadership position in the high
technology venture capital market, $2.5 billion VantagePoint Venture Partners today
announced the formation of a new venture fund, VantagePoint New York Fund (VP NY),
focused on technology innovations in New York State and the opening of its East Coast
headquarters at 444 Madison Avenue, New York, NY.

Specializing in data networking, optics, wireless, and voice technologies, services and
applications, VantagePoint is well positioned to accelerate growth in New York State’s
technology-based start-up companies.


WALTHAM, MA — Guardent Inc., the leading provider
of security and privacy programs for Global 2000 organizations, today
announced that new equity financing, a second secure network operations center
(S-NOC) and a burgeoning list of customers are propelling its rapidly growing
business to profitability.

Guardent has closed $20 million in a Series C round of equity financing led by Citicorp
Strategic Investments. Mercury Interactive and existing investors Charles River Ventures,
New Enterprise Associates and Sequoia Capital also participated in this funding round. In
addition, Kate Sullivan, Chief Operating Officer for Citigroup’s e-Citi unit, has joined
Guardent’s board of directors.

CULVER CITY, CA — Medschool.com, a VC-backed
e-learning company offering high-quality training and education solutions for health-care
organizations and professionals worldwide, has formally announced its new name.

The company will now be known as Medsn (pronounced med-s-n). Medsn is dedicated to
delivering medical e-learning solutions in the health-care vertical. Patricof & Co. Ventures Inc., U.S. member of Apax Partners, is a global
private investment firm with offices in New York, Philadelphia, Palo Alto,
London, Leeds, Dublin, Paris, Madrid, Milan, Munich, Tel-Aviv, Tokyo and
Zurich. Its team of more than 130 investment professionals manages more than
$7.0 billion worldwide for leading institutional investors.

SAN JOSE, CA — iCelerate, a global application, integration and
managed services firm, today announced it has successfully closed its $11.08M Series B
round of funding. iCelerate leverages advanced technologies, managed services and
proprietary methodologies to help its customers build long-term, sustainable competitive
advantages in their respective fields. The Company, with operations in the U.S., U.K. and
India, will use this investment to augment its growth with strategic investments and
partnerships designed to fuel its expansion within existing and into new vertical markets.



NEW YORK — Bear, Stearns & Co. Inc. announced today
that four leading wealth managers have joined the firm’s Private Client Services Group in
San Francisco. Jon Folan, Timothy Redpath, Michael Bozora and Bruce Blockley, all senior
managing directors, manage joint assets of $1.5 billion for clients who include
corporations, venture capital organizations, professional investors and other individuals.
Together the four men possess more than 110 years of experience in the securities
industry. The four wealth managers will form a partnership within Bear Stearns to specialize in
comprehensive wealth management, trading and brokerage services. The team will serve
wealthy individuals, venture capitalists, professional investors and corporate clients. In
addition to the four senior managing directors, the venture will include four account
executives and staff to deliver a superior level of service to clients.

A 30-year securities industry veteran, Mr. Folan joins the firm from Prudential Volpe
Technology Group, where he was managing director and group head of Corporate Venture
Services.

Mr. Redpath, who has 20 years of experience in the industry, also joins from Prudential
Volpe Technology Group, where he was managing director and chief administrative officer.
Earlier he served as resident manager of Prudential Securities’ Private Client Group in San
Francisco.

Mr. Bozora, who joins after serving as a senior vice president at Lehman Bros., has worked
in several management roles during his 28 years in the securities industry.

Mr. Blockley, also joins the firm from Lehman Bros., where he was a senior vice president.
A 35-year veteran of the securities industry, he has 14 years of experience in institutional
block trading and has spent the last 21 years serving private clients.

NEW YORK — New York investment bank Veronis Suhler &
Associates Inc. (X.VSH) has hired Philip B. Weymouth III as lead
managing director for its merger and corporate finance divisions.

Weymouth will focus on investment banking and private-equity investment transactions
among large, diversified media companies, business information and specialty marketing
concerns, and broadcasting and telecom companies, James P. Rutherford, Veronis
Suhler’s head of investment banking, said in a press release late Monday.

Weymouth, 36 years old, joins the firm from J.P. Morgan Capital Corp.’s communications
group. In addition to serving as a partner in the group, Weymouth was a board-level
director for several of J.P. Morgan’s portfolio companies, including Lightship Telecom LLC,
mindSHIFT Technologies Inc. and others.

For yesterday