======================================================
        VENTUREWIRE --- Tuesday, September 26, 2000
======================================================
           Private Company Business News
------ Published Daily by Technologic Partners -------
           http://technologicpartners.com
======================================================

Top Stories:

o Optical Networker Chiaro Gets $100 Million in Round Three
o Bertelsmann and iSyndicate Create Joint European Venture
o Novalux Holds Third Round of Financing for $109 Million
o Online Jewelry Retailer Miadora Closes Down
o Sun Microsystems Starts $50 Million Asian Investment Program
o Mayfield Fund Names Consultant as Marketing Partner

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Also in This Issue:

     New Money:
o Healthcare Financial ASP Gets $32 Million First Round
o IP Platform Firm Palmchip Gets $13 Million in First Round
o Telcom Global Solutions Raises $11 Million from Bear Stearns
o Network Infrastructure Firm Nexsi Gets $75 Million
o Ballroom Dancing Site DanceScape Lands $650,000 First Round
o Consulting Firm Netigy Raises $75 Million in Round Three
o Energy Marketplace Myutility.com Gets Seed Funding
o Integration Service Firm YellowShirt Closes First Round
o Mobile ISP Brightpod Gets $5 Million First Round
o Net Business Services Firm Hencie Has $2.8 Million Round One
o Net Services Firm Epylon Raises $47 Million in Second Round
o Hart InterCivic Gets $32.5 Million in Second Funding Round
o Lineo Raises $22.5 Million From Motorola Subisidiary
o Communications ASP uReach Raises $16 Million in Funding
o Expedia.com Takes an Equity Stake in eGulliver Travel Site
o ISP NextWeb Gets Round B Funding from Kaiser and Monet
o Net Software Provider ANT Raises $7.3 Million Second Round
o Petroleum Marketplace FuelSpot.com Raises Funds, Lauches
o Routing Platform Firm Gotham Secures $25 Million Round Two
o ChemNavigator.com Secures $6.25 Million in Series C Funding
o Ford Takes Equity Stake in Expense Management Firm Captura
o Online Privacy Firm Predictive Has $45 Million Round Three
o Semiconductor Software Firm Cynergy Raises $4.5 Million
o Web Navigation Tools Developer Annotate.net Gets $4 Million
o Wireless Infrastructure Firm qServe Secures $32.5 million
o Nonstop Solutions Raises $50 Million in Mezzanine Round
o Artesia Technology Secures $26 Million in Mezzanine Round
o Interactive TV Maker Telecruz Raises $35 Million Mezzanine
o Siemens Joins Sitara's $20 Million Series G Funding Round
o Winfield Capital Invests in Online Books Retailer Espiral
o Online Learning Platform Tuesday Interactive Raises Funds
o Online Lease Financing Firm eMarket Raises $5 Million
o STM Wireless Invests in Streaming Media Firm BroadEdge

     New Products:
o SmartPipes, Backed by Kleiner and Clark,  Launches Beta
o Online Payment System Provider PocketPass.com Launches
o Fujitsu-ICL and Foursan Partner to Serve the Middle East
o w-Trade Technologies Changes Name To w-Technologies

     M&A:
o Auto Auction Site Autodaq Buys Remarketing Firm MarketWise
o Burley House Weddings and Confetti Network Merge
o DeepBridge Content Solutions Acquires Online Communications

     New Directors:
o Greenhouse Fund CEO Joins E-Commerce Firm @TheMoment's Board
o Database Marketer ROI Direct Taps Intuit CFO for Board
o IBM Executive Joins Network Services Firm E-smith's Board
o Lease Management Software Firm LeaseForum Names Board Member
o Supply Chain Firm Efinity Names Ex-PairGain CFO to Board
o Two From Internet HealthCare Group Join ActiveCyte Board
o Two Investors Take Seats on Sharing Technologies' Board

     New People:
o ePromos.com Names Former NetCreations Exec as President, CEO
o Internet Barter Appoints Ex-beenz.com Chairman as CEO
o Net Authentication Systems Firm Authentor Names CEO

     VC Fund News:
o Venturelab Partners Launches $100 Million Second Fund
o Atle Fvretagskapital Restuctures Investment Subsidiary
o Net Value Holdings Changes Name to Stonepath Group

     VC Personnel:
o Former 3Com Ventures President Joins Matrix as a Partner

     VW Amplification:
o Sharing Technologies

     VW Corrections:
o epipeline.com

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======= Top Stories =======

o Optical Networker Chiaro Gets $100 Million in Round Three

RICHARDSON, Texas -- Chiaro Networks, a provider
of optical networking equipment, said it secured
more than $100 million in third round funding. Polaris
Venture Capital led the round with Koor Corporate
Venture Capital acting as co-lead. Other new investors
Charter Growth Capital, Mustang Ventures, Robertson
Stephens' Bayview 2000 Fund, and Vitesse Venture
Fund also participated. Existing investors CenterPoint
Ventures, Crown Advisors, Intel Capital, InterWest
Partners, Rho Management, Sevin Rosen, and Star
Ventures contributed to the round as well. The funds
will be used to develop and launch the company's
product. Last December, the company moved its headquarters
from Jerusalem to Richardson, Texas, but still maintains
facilities in Jerusalem.
http://www.chiaro.com/
_____________________________________________

o Bertelsmann and iSyndicate Create Joint European Venture

HAMBERG, Germany -- Global media corporation Bertelsmann
and Internet content marketplace provider iSyndicate
said they agreed to form a joint venture to provide
content syndication services and technology in Europe.
Each founding company will hold a 50% stake in the
new joint company, doing business as iSyndicate
Europe. As a result of the agreement. Bertelsmann
will acquire 4% of iSyndicate. The company will
have headquarters in Hamberg, Germany. iSyndicate's
London office will be the first affiliate office
of the new ventures. Bertelsmann has the right to
appoint the new firm's chief executive officer and
its chief creative officer, Rolf Schmidt-Holtz,
will sit on the company's board of directors. iSyndicate's
co-founder, president, and CEO Joel Maske will chair
iSyndicate Europe. iSyndicate is backed by Hambrecht
& Quist, InfoSpace, Labrador Ventures, Microsoft,
NBC, News Digital Ventures, Scripps Ventures, and
Vignette.
http://www.isyndicate.com/
http://www.bertelsmann.com/
_____________________________________________

o Novalux Holds Third Round of Financing for $109 Million

SUNNYVALE, Calif. -- Novalux, a developer of fiber
optics components, said it raised its third round
of funding for $109 million. Morgan Stanley Dean
Witter Venture Partners led the round, which included
new investors Cisco Systems, Credit Suisse First
Boston, Intel Capital, Lamoreaux Partners, MSD Capital,
NorthEast Ventures, Salomon Smith Barney, Sternhill
Partners, Telesoft Partners, and U.S. Bancorp Piper
Jaffray. Previous investors that funded the round
include Crescendo Ventures, Crown Advisors, DynaFund,
RWI, Tredegar Investments, and Vanguard Venture
Partners. Morgan Stanley Dean Witter Venture Partners
managing director William Harding will join the
company's board of directors. The company will use
the funding to expand its manufacturing capacity
and create design teams to develop additional photonic
products.
http://www.novalux.com/
_____________________________________________

o Online Jewelry Retailer Miadora Closes Down

SAN FRANCISCO -- Miadora, an online jewelry retailer,
has shut down. According to a posting on the company's
Web site, it closed operations on Friday. The company
had raised $20 million in its third round of funding
in May from investors including Freeman Spogli,
Aesop Capital, Capital Research and Management,
HarbourVest, Oracle Venture Fund, Pivotal Partners,
and Sequoia Capital. Two months prior to the funding
Miadora had acquired another jewelry site on the
Web, Jewelry.com.
http://www.miadora.com/
_____________________________________________

o Sun Microsystems Starts $50 Million Asian Investment Program

PALO ALTO, Calif. -- Sun Microsystems said it launched
its Sun Asia Pacific Venure Investment Program with
$50 million. The company said it will co-invest
with local partners to provide a total of $250 million.
The program will invest in Asian companies that
focus on Internet, communications, and Internet
commerce companies that will complement the company's
iForce and Developer.com programs that already invest
in Asia Pacific firms. Sun Microsystems said it
would partner with venture capital groups in Australia,
Japan, Korea, and Taiwan and said it expected to
start talks with venture capital firms in other
countries soon.
http://www.sun.com/
_____________________________________________

o Mayfield Fund Names Consultant as Marketing Partner

MENLO PARK, Calif. -- Mayfield Fund, an investment
firm that funds telecommunications, e-commerce,
healthcare and semiconductor companies, said it
appointed Jennifer Jones as marketing partner, a
newly created position. Ms. Jones has served as
a marketing consultant to Mayfield Fund since 1989
through her firm, Jennifer Jones Consulting. Ms.
Jones will advise Mayfield portfolio companies on
branding and marketing as well as directing Mayfield's
internal marketing programs. As part of her arrangement
with Mayfield, Ms. Jones will also continue to advise
Goldman Sachs Global Technology Group.
http://www.mayfield.com/

======= New Money =======

o Healthcare Financial ASP Gets $32 Million First Round

LEXINGTON, Mass. -- eHealth Direct, a developer
of ASP-based financial transaction software and
services for the health insurance and benefits administration
industries, said it raised $32 million in its first
round of funding. Investors include Advanced Technology
Ventures, the Audax Group, Bain Capital Partners,
Chase Capital Partners, Psilos, and Utah Ventures.
http://www.ehealthdirect.com/
_____________________________________________

o IP Platform Firm Palmchip Gets $13 Million in First Round

SAN JOSE, Calif. -- Palmchip, which develops and
licenses configurable semiconductor IP platforms
for embeded system on chip integrated circuits,
said it has secured $13 million in its first round
of funding led by Index IT, a division of Beeson
Gregory. The company said it will use the funds
to develop its platform. Palmchip also said it has
appointed Michael L. Hackworth, chairman and former
president of Cirrus Logic, to its board of directors.
Palmchip also named Joseph T. Rodgers, formerly
chief financial officer of Quantum, as board chairman.
The company also announced ARM Holdings, an early
investor in Palmchip, has restructured its investment
and retains a minority position below ten percent.
http://www.palmchip.com/
_____________________________________________

o Telcom Global Solutions Raises $11 Million from Bear Stearns

IRVING, Texas -- Telcom Global Solutions Holdings,
which provides telecom network and radio frequency
engineering services for the wireless communications
industry, said it received $11 million in its Series
A round of funding from Bear Stearns Merchant Banking.
The round will be used to expand the scope of the
company's wireless deployment operations worldwide,
for technology development and enhancement, as well
as for recruitment in international markets.
http://www.telcomglobalsolutions.com/
_____________________________________________

o Network Infrastructure Firm Nexsi Gets $75 Million

SAN JOSE, Calif. -- Nexsi, a developer of network
infrastructure routing systems, said it raised $75
million in a round of funding led by Amerindo Investment
Advisors. Capital Research Group, Presidio Venture
Partners, Mitsui, and Soros Investments also contributed
to the round. Previous investors Sequoia Capital
and Raza Ventures also participated. Nexsi is developing
routers called to serve as service delivery platforms
for high-bandwidth security and traffic management
services.
http://www.nexsi.com/
_____________________________________________

o Ballroom Dancing Site DanceScape Lands $650,000 First Round

BURLINGTON, Ontario -- DanceScape, a Web site that
provides news and information on competitive ballroom
dancing, said it received $650,000 in its first
round of funding from Timberline Venture Partners.
William Kallman, managing partner of Timberline,
has joined the board of directors.
http://www.dancescape.com/
_____________________________________________

o Consulting Firm Netigy Raises $75 Million in Round Three

SAN JOSE, Calif. -- Netigy, which provides infrastructure
consulting and services to enterprise companies,
said it raised $75 million in its third round of
funding. Van Wagoner Capital Management led the
round followed by J&W Seligman, Pilgrim Baxter and
Associates, Avalon Capital Management, Trinity Ventures,
Morgan Stanley Dean Witter, and Eric Greenberg,
founder and chairman of Scient Corporation. The
round also included strategic investors Genuity
and Dell Ventures. The company plans to use the
funds for expansion into the U.K. and staffing.
Previous investors are Benchmark Capital, Cisco
Systems, and Trinity Ventures.
http://www.netigy.com/
_____________________________________________

o Energy Marketplace Myutility.com Gets Seed Funding

NEW YORK -- Myutility.com, an energy services marketplace
and information provider for businesses, said it
has secured an undisclosed amount of seed capital.
The funding was led by TSG Equity Partners, formerly
the Shepherd Group. Thomas R. Shepherd, chairman
and co-founder of TSG Capital, has joined Myutility.com's
board of directors. Mr. Shepherd is also a special
partner of Thomas H. Lee Company (THL), a private
equity firm. Myutility.com, which is seeking its
first round of funding, said it would use the financing
to develop its Web site.
http://www.myutility.com/
_____________________________________________

o Integration Service Firm YellowShirt Closes First Round

PASADENA, Calif. -- YellowShirt, a provider of hosted
integration services, said it has closed its first
round of funding at an undisclosed amount. Investments
came from Kleiner Perkins Caufield & Byers, Palomar
Ventures, and included a strategic investment from
webMethods. The company said the funds will be used
for sales and marketing.
http://www.yellowshirt.com/
_____________________________________________

o Mobile ISP Brightpod Gets $5 Million First Round

RESEARCH TRIANGLE PARK, N.C. -- Brightpod, a mobile
Internet services provider incubated by Ericsson,
said it has secured $5 million in its first round
of funding led by the Aurora Funds. Ericsson will
maintain an equity stake and preferred technology
relationship with Brightpod. The company also announced
it has entered into agreements with a wide range
of technology partners, including IBM.
http://www.brightpod.com/
_____________________________________________

o Net Business Services Firm Hencie Has $2.8 Million Round One

DALLAS -- Hencie, a service provider and product
developer for online companies, said it closed its
first round with $2.8 million from Edge Technology
Group. The company will use the funds to open new
offices, market its Enterprise Plug-in product,
create new products and launch new services. Edge's
president and CEO Pierre Koshakji will join the
company's board of directors. Edge to date has invested
$1.4 million in the company.
http://www.hencie.com/
_____________________________________________

o Net Services Firm Epylon Raises $47 Million in Second Round

SAN FRANCISCO -- Epylon, a provider of hosted online
business services for education and government institutions,
said it has raised $47 million in its Series B funding
round. The round was led by Highland Capital Partners,
and included investments by AC Ventures, Deloitte
Consulting Ventures, Galleon Group, Information
Technology Ventures, Osprey Ventures, Palladin Group,
and Brand Equity Ventures. The company said it will
use the funds for sales and marketing. Epylon was
funded in previous rounds by Highland Capital Partners,
Intel Capital, and ITV. Over the summer, Epylon
also sold equity stakes and formed alliances with
Andersen Consulting and Deloitte.
http://www.epylon.com/
_____________________________________________

o Hart InterCivic Gets $32.5 Million in Second Funding Round

AUSTIN, Texas -- Hart InterCivic, formerly Hart
Information Services, which provides  election products
and Internet government services, said it secured
$32.5 million in second round funding led by new
investor Texas Growth Fund Management with new investors
RES Partners, Summit Capital, and Stratford Capital
contributing. Previous investor Triton Capital also
participated in the round. Stephen Soileau, principal
of the Texas Growth Fund; Fredrick R. Lummis, principal
and managing director of Summit Capital; and Scott
Collier, managing director of Triton Ventures, joined
Hart's board, which now has seven members. The company
will use the funds for product development and marketing.
http://www.hartintercivic.com/
_____________________________________________

o Lineo Raises $22.5 Million From Motorola Subisidiary

SCHAUMBURG, Ill. -- Motorola, through its subisidiary
Metrowerks, said it would acquire 8% of the Lineo,
a developer and retailer of embedded Linux technologies,
for $22.5 million. The share acquisition gives Lineo
a valuation of $281.3 million. Motorola said the
acquisition was a step forward for its support of
open source technology and open platform computing.
The companies said the strategic partnership will
result in a variety of joint products and services.
Lineo has received previous investments from Egan
Managed Capital Group and the Canopy Group.
http://www.lineo.com/
_____________________________________________

o Communications ASP uReach Raises $16 Million in Funding

HOLMDEL, N.J. -- uReach, a communications applications
service provider, said it received $16 million in
financing from Banc One and Argo Global Capital.
uReach said the funds will be used to expand its
consumer base, and to provide communications services
to CLECs, telcos, ISPs, wireless carriers, and portals.
uReach also announced Thomas A. Wooters, Jr., vice
president and partner at  Argo Global Capital, and
Gordon Pan, principal at Banc One Equity Capital,
have joined its board of directors
http://www.ureach.com/
_____________________________________________

o Expedia.com Takes an Equity Stake in eGulliver Travel Site

ORLANDO, Fla. -- Travel site Expedia said it will
make an undisclosed equity investment in eGulliver.com,
which offers customers advice from travel consultants.
The two companies will also form a strategic relationship,
giving Expedia's customers access to eGulliver's
network of travel specialists. eGulliver is also
backed by Atlanta-based Noro-Moseley Partners.
http://www.egulliver.com/
_____________________________________________

o ISP NextWeb Gets Round B Funding from Kaiser and Monet

SANTA CLARA, Calif. -- NextWeb, an Internet service
provider that offers broadband wireless access to
small and medium-sized businesses and residents
in California, said it received an undisclosed amount
of funding in its Series B round from Kaiser Permanente
and Monet Capital. The funds will be used for regional
expansion. The company said two undisclosed individuals
from Monet Capital will join its board of directors.
http://www.nextweb.cc/
_____________________________________________

o Net Software Provider ANT Raises $7.3 Million Second Round

CAMBRIDGE, U.K. -- ANT, a provider of embedded communication
appliance software for Internet devices and consumer
electronics, said it raised $7.3 million in its
second round of funding led by Inflexion, which
contributed $4.3 million. Beeson Gregory Technology
Investments and individual investors also participated
in the funding round. ANT said it will use the investment
to expand its sales, marketing, and engineering
teams.
http://www.antlimited.com/
_____________________________________________

o Petroleum Marketplace FuelSpot.com Raises Funds, Lauches

DENVER -- FuelSpot.com, a trade, exchange and e-commerce
portal for petroleum transactions, said it launched
its Web-based marketplace for the refined products
industry. FuelSpot, which recently secured $7.8
million in Series B financing from new investor
Internet Capital Group (ICP), also raised an additional
$5 million from previous investor Zero Stage Capital.
The company said it expects approximately $7.8 million
more from ICG in a subsequent phase of the round.
FuelSpot.com said it will use the funds to enhance
its technology, to expand management team and staff,
and for marketing.
http://www.fuelspot.com/
_____________________________________________

o Routing Platform Firm Gotham Secures $25 Million Round Two

ACTON, Mass. -- Gotham Networks, which is developing
a switching and routing platform, said it received
$25 million in second round financing. Crescendo
Ventures led the round with ComDisco Ventures contributing.
First round investors, Charles River Ventures, and
Bessemer Venture Partners also participated in the
financing.
http://www.gothamnetworks.com/
_____________________________________________

o ChemNavigator.com Secures $6.25 Million in Series C Funding

SAN DIEGO, Calif. -- ChemNavigator.com, which provides
online services allowing scientists to gain access
to information on chemical compounds, said it raised
its Series C round of funding for $6.25 million.
The round was the company's first to involve venture
capital firms, and was funded by new investors Castle
Rock Ventures, Chitung Venture Capital, Life Science
Venture Fund, Taurus Enterprises, Source One Ventures
Fund, United Overseas Bank, YFY Global Investment,
and individual investors. The company will add one
representative from a venture capital investor to
its board of directors. ChemNavigator.com will use
the funding to expand its services offerings and
to form additional strategic partnerships.  ChemNavigator
has also been backed by strategic partner Trega
Biosciences.
http://www.chemnavigator.com/
_____________________________________________

o Ford Takes Equity Stake in Expense Management Firm Captura

BOTHELL, Wash. -- Captura, which provides automated
expense-management systems to businesses,  said
it has received an undisclosed equity investment
from Ford Motor Company. Captura said it will use
the funding to create a single, unified system for
automating all corporate expenses and online business
transactions. Investors for Captura include Hewlett-Packard,
MasterCard International, Anschutz Investment, WestBridge
Ventures, Merrill Lynch, Oak Investment Partners,
Sprout Group, Tudor Global Trading, U.S. Trust Company
of New York, and Voyager Capital.
http://www.captura.com/
_____________________________________________

o Online Privacy Firm Predictive Has $45 Million Round Three

CAMBRIDGE, Mass. -- Predictive Networks, which is
developing technology for online privacy, said it
has raised $45 million in its third round of funding
led by Advent International and previous investor
Battery Ventures. Additional investors included
C.E. Unterberg Towbin, Net2Phone, NetRatings, PSINet,
and Nippon Telephone and Telegraph. The company
said it would use the funds to build its technology,
increase marketing in the U.S., and establish new
markets in Japan and Europe.
http://www.predictivenetworks.com/
_____________________________________________

o Semiconductor Software Firm Cynergy Raises $4.5 Million

SANTA CLARA, Calif. -- Cynergy System Design, which
provides embedded system simulation software to
semiconductor and embedded system companies developing
system-on-a-chip (SoC) products, said it completed
a $4.5 million round of financing. Dallas-based
Broadband Venture Partners, Motorola Semiconductor
Products Sector, and an unnamed Japanese semiconductor
company participated in this round. The funds will
be used for expansion  and sales and marketing.
http://www.cynergysd.com/
_____________________________________________

o Web Navigation Tools Developer Annotate.net Gets $4 Million

NEW YORK -- Annotate.net, a Web navigation tools
developer, said it received $4 million in additional
funding from new individual investors Fayez Sarofim,
chairman and founder of Fayez Sarofim & Co., and
Eric J. Gleacher, chairman and CEO of Gleacher &
Co. The company secured Series A funding from Merrill
Lynch, Millennium Technology Ventures, and individual
investor Kevin O'Connor, chairman and founder of
DoubleClick. Mr. Gleacher will be company's fifth
board member. The funds will be used for marketing,
distribution deals, and working capital.
http://www.annotate.net/
_____________________________________________

o Wireless Infrastructure Firm qServe Secures $32.5 million

GREENVILLE, S.C. -- qServe Communications, which
provides wireless infrastructure provisioning services,
said it has raised $32.5 million in additional funding.
The company said the funds would be used to support
its growth through strategic acquisitions. qServe
said it has raised $47.5 million to date. The company
is backed by Talisman Capital of Little Rock, Arkansas,
and Boston's Tudor Investment.
http://www.qserve.com/
_____________________________________________

o Nonstop Solutions Raises $50 Million in Mezzanine Round

SAN FRANCISCO -- Nonstop Solutions, a provider of
supply chain technology to manufacturers, wholesale
distributors and retailers, said it raised $50 million
in a mezzanine round of financing. Lead investor
Lehman Brothers Venture Partners was joined by new
investors Credit Suisse First Boston, Bank of America
Securities, and Needham. Previous investors Kleiner
Perkins Caufield & Byers, Partech International,
Chase H&Q, Altos Ventures, REI, and Integral Capital
Partners also participated in the round. The company
said it will use the funds to expand its customer
base and pursue strategic acquisitions.
http://www.nonstop.com/
_____________________________________________

o Artesia Technology Secures $26 Million in Mezzanine Round

ROCKVILLE, Md. -- Artesia Tecnhology, a provider
of digital asset management technology, said it
has secured $26 million in its mezzanine round of
funding. New investors joining first round investor
Warburg Pincus Ventures include BEA Systems, Enron
Broadband Services, Vignette, Razorfish, and Protege
Virtual Management Solutions. Artesia said it will
use the funds to continue global expansion of its
product development, customer service, sales and
marketing, and professional services operations.
http://www.artesiatech.com/
_____________________________________________

o Interactive TV Maker Telecruz Raises $35 Million Mezzanine

SAN JOSE, Calif. -- Telecruz Technology, a developer
of interactive television technology, said it has
raised $35 million in its mezzanine round of funding
led by Kavanaugh Media Funds and Oakmont. The round
also included Sands Brothers, an investment firm;
Spyglass Entertainment Group, an affiliate of Walt
Disney; Mark Canton, the former chairman of Columbia
TriStar; John Peters of Peters Entertainment and
former CEO of Sony Entertainment; Jim Wiatt, CEO
of The William Morris Agency; Bob Philpott of Philpott,
Bill and Stoles; and Page Jenkins, a registered
Investment Advisor. The company said it would use
the funds to develop its technology.
http://www.telecruz.com/
_____________________________________________

o Siemens Joins Sitara's $20 Million Series G Funding Round

WALTHAM, Mass. -- Sitara Networks, a provider of
software and hardware designed to allow large companies
and ISPs to more effectively manage their networks,
said Siemens invested several million in the company's
$20 million Series G funding. As part of the deal,
the two companies will set up joint marketing programs.
The funds will be used for sales, marketing, and
to develop a voice over IP product line. The round
also included previously announced investors MFS
Investment Management, Van Wagoner Capital Management,
Essex High Technology Fund, Deutsche Banc Alex Brown,
Thomas Weisel Partners, and private investors.
Sitara has raised over $70 million to date.
http://www.sitaranetworks.com/
_____________________________________________

o Winfield Capital Invests in Online Books Retailer Espiral

WHITE PLAINS, NY. -- Winfield Capital, a publicly
traded small business investment company, said it
made an undisclosed investment in Miami Beach, Fla.-based
Espiral.com, an online provider of books and textbooks
in Spanish and Portuguese. The site serves as a
literary community where users can buy books as
well as learn and share ideas.
http://www.espiral.com/
_____________________________________________

o Online Learning Platform Tuesday Interactive Raises Funds

NEW YORK -- Tuesday Interactive, a developer of
customized online learning environments, said it
closed a round of financing from institutional and
individual investors, including the Wolfson Group
and Devor Capital Investments, at an undisclosed
amount. The funding will be used for sales, product
development, and the anticipated launch of the company's
newest application, Accipio. The company said it
expects to raise an additional round by the end
of the year. Telephone 212-677-8585.
_____________________________________________

o Online Lease Financing Firm eMarket Raises $5 Million

WAYNE, Pa. -- eMarket, a Web-based lease financing
company, received $5 million from Internet Capital
Group. The company will use the funds to develop
its service. eMarket offers fully customized, private-label
leasing services on a turnkey basis to equipment
manufacturers and their agents, who in turn offer
leasing to their customers.
http://www.emarketcapital.com/
_____________________________________________

o STM Wireless Invests in Streaming Media Firm BroadEdge

IRVINE, Calif. -- STM Wireless announced that it
has invested an undisclosed amount in BroadEdge,
a new satellite-based broadband access provider
of streaming media content. BroadEdge is also backed
by Infonet Services, a provider of global communication
services for multinationals, which has invested
$2.5 million in the company. Emil Youssefzadeh,
the CEO of STM, has been named chairman of BroadEdge.
Infonet's vice president of business development,
Ken Felderstein, and its director of broadband services,
Jan Stevens, will also join BroadEdge's board.
http://www.broadedge.net/

======= New Products =======

o SmartPipes, Backed by Kleiner and Clark,  Launches Beta

ATLANTA -- SmartPipes, an IP services company, announced
the beta availability of its Global IP Services
at a trade show in Atlanta. The launch will enable
businesses to activate and manage advanced IP services
such as security, virtual private intranet and extranet
networks, and voice and interactive collaboration
services. Smartpipes is backed by Kleiner Perkins
Caufield & Byers and individual investors Jim Clark,
founder of  Silicon Graphics, Netscape Communications,
and Healtheon/WebMD, Tom Jermoluk, former @Home
CEO and a partner at Kleiner Perkins, and Dave Roux,
co-founder of Silver Lake Management. John Doerr
represents Kleiner Perkins on the board.
http://www.smartpipes.com/
_____________________________________________

o Online Payment System Provider PocketPass.com Launches

SAN JOSE,Calif. -- PocketPass.Com, a provider of
a pre-paid Internet payment system announced its
launch. PocketPass offers a plastic card, distributed
through retail establishments such as convenience
stores, that enables users to make purchases online
without a credit card. PocketPass began operations
in September 1999 and is backed by $1.25 million
in individual funding provided primarily by  Inder
Singh, chairman and CEO of LynuxWorks, and Yaqub
Mirza, president and CEO of both Sterling Management
Group and MarJac Investments. Other investors include
Alan Meckler, chairman of Internet.com. The company
is now raising its first round, a $15 million Series
B offering.
http://www.pocketpass.com/
_____________________________________________

o Fujitsu-ICL and Foursan Partner to Serve the Middle East

DALLAS -- Fujitsu-ICL, a joint venture between Fujutsu
and ICL that provides Internet business services,
said it will form a joint venture with Amman, Jordan-based
venture capital firm Foursan Technology Partners.
The new firm, 4Mena Systems, will be based in the
Middle East and provide Internet business design,
development, and integration services to companies
in the Middle East and North Africa. Fujitsu-ICL
provides technical design, systems integration,
and managed infrastructure services. Foursan Technology
Partners funds Middle East-based startup IT companies.
http://www.fjicl.com/
http://www.4san.com/
_____________________________________________

o w-Trade Technologies Changes Name To w-Technologies

NEW YORK -- w-Trade Technologies, a wireless application
software and mobile business services provider,
said it changed its name to w-Technologies. The
company, which began as a wireless trading system
provider, now provides a range of wireless applications.
w-Technologies is backed by Merrill Lynch, Paine
Webber, Deutsche Telecom, Upper Brook Limited, and
Eden Capital Fund.
http://www.w-trade.com/

======= M&A =======

o Auto Auction Site Autodaq Buys Remarketing Firm MarketWise

MENLO PARK, Calif. -- Autodaq, an online wholesale
automobile auction site, said it purchased Market
Wise, an automative remarketing services company,
for an undisclosed amount. The combined company
will be named Autodaq. Market Wise will be a wholly-owned
subsidiary run by its current management team. Autodaq
is backed by August Capital, Madison Dearborn Partners,
and Zilkha Ventures.
http://www.market-wise.com/
http://www.autodaq.com/
_____________________________________________

o Burley House Weddings and Confetti Network Merge

LONDON -- The Board of Findel, a home shopping and
third party fulfilment business, said it plans to
merge the company's Burley House Weddings business
with Confetti Network, which operates Web sites
that enable users to research and plan weddings.
The Burley House Wedding Gift Service was launched
by Findel and provides users with an online wedding
directory and gift shopping. The combined business
will operate under the Confetti brand. Confetti
investors include now include Findel, Durlacher,
Atlas Venture, Botts & Co., LGT and Marks & Spencer.
http://www.burleyhouse.co.uk/
http://www.confetti.co.uk/
_____________________________________________

o DeepBridge Content Solutions Acquires Online Communications

NEW YORK -- DeepBridge Content Solutions, a provider
of integrated e-business and content management
technology, said it acquired Washington-based Online
Communications, a provider of multimedia, video,
and Web projects for the healthcare market. OnLine
Communications CEO Mark Hollander will join DeepBridge
as executive vice president. The financial terms
of the acquisition were not disclosed. DeepBridge
is backed by $50 million from Jupiter Partners.
http://www.deepbridge.com/

======= New Directors =======

o Greenhouse Fund CEO Joins E-Commerce Firm @TheMoment's Board

SAN MATEO, Calif. -- @TheMoment, provider of a hosted
service that enables online marketplaces to use
dynamic pricing, such as auctions and negotiated
exchanges, said it appointed David Lockwood to its
board of directors. Mr. Lockwood is a co-CEO of
the Reuters Group's Greenhouse Fund. Mr. Lockwood
joins board members Larry Frye, @TheMoment co-founder,
president and CEO; Dave Moshal, @TheMoment co-founder
and CTO; Ken Goldman, CFO of Siebel Systems; and
Jason Strober, a partner at VantagePoint Venture
Partners.  The Greenhouse Fund led @TheMoment's
third round of funding that included investments
from Comdisco Ventures, Tarrant Venture Partners,
Tibco Software, and VantagePoint Venture Partners.
http://www.themoment.com/
_____________________________________________

o Database Marketer ROI Direct Taps Intuit CFO for Board

SAN FRANCISCO -- ROI Direct, a provider of Internet-based
direct marketing services, said it has appointed
Intuit CFO and senior vice president Greg Santora
to its board of directors. ROI Direct is backed
by Crosspoint Venture Partners, Accel Partners,
HarbourVest Partners, Pivotal Asset Management,
and Vanguard Venture Partners.  ROI offers database
marketing, e-mail marketing, and e-commerce services
to mid-tier businesses.
http://www.roidirect.com/
_____________________________________________

o IBM Executive Joins Network Services Firm E-smith's Board

BOSTON -- E-smith, a provider of network server
technology for small and mid-sized businesses, said
it appointed the vice president of technology strategy
for IBM Worldwide John Landry to its board of directors.
Investors for e-Smith include Greylock and Red Hat.
 The company's flagship product, the e-smith server
and gateway, is an open-source, Linux-based network
server.
http://www.e-smith.com/
_____________________________________________

o Lease Management Software Firm LeaseForum Names Board Member

SANTA CLARA, Calif. -- LeaseForum, a provider of
Web-based lease and asset management software and
services, said it will appoint James Tenner to its
board of directors. Mr. Tenner was formerly the
president and chief operating officer of the Family
Education Network and one of the five founding members
of AT&T Capital. Shawmut Capital Partners is LeaseForum's
sole investor.
http://www.leaseforum.com/
_____________________________________________

o Supply Chain Firm Efinity Names Ex-PairGain CFO to Board

ALISO VIEJO, Calif. -- Efinity, which provides a
Web-based marketplace that allows manufacturers
to exchange supply chain and business data with
their trading partners, said it named Charles W.
McBrayer to its four-member board of directors.
Mr. McBrayer was CFO and executive vice president
of PairGain Technologies. Efinity is backed by private
investors.
http://www.efinity.com/
_____________________________________________

o Two From Internet HealthCare Group Join ActiveCyte Board

AVON, Conn. -- Internet HealthCare Group (IHCG),
an e-health holding company, said two of the senior
members of its Boston-based management team, Sena
Biswas and Jason P. Rhodes, joined the board of
ActiveCyte, a provider Internet-based decision support
services and licensing exchange for the biopharmaceutical
industry. The board appointment follows IHCG's $10
million investment in ActiveCyte, which was founded
by Boston Consulting Group.
http://www.ihcg.com/
http://www.activecyte.com/
_____________________________________________

o Two Investors Take Seats on Sharing Technologies' Board

PARIS -- Sharing Technologies, which develops knowledge
management applications, said it has appointed Mizuhiko
Hashimoto and Pierre Brunet to its board of directors.
Mr. Hashimoto is head of International Investment
Team of NIF Ventures, and Pierre Brunet is the senior
vice president of Investissement Desjardins. Both
NIF Ventures and Investissement Desjardins have
invested in Sharing.
http://www.sharing.com/

======= New People =======

o ePromos.com Names Former NetCreations Exec as President, CEO

NEW YORK -- ePromos.com, a business-to-business
provider of promotional product services, said it
named Mitchell York, former president and COO of
NetCreations, as president and chief executive officer.
Mr. York will be replacing  the company founder,
Jason Robbins, who will continue on as chairman
of the board. ePromos is backed by Axalon Internet
Group and Industry Ventures.
http://www.epromos.com/
_____________________________________________

o Internet Barter Appoints Ex-beenz.com Chairman as CEO

SAN FRANCISCO, Calif. -- Internet Barter, which
maintains the business-to-business electronic barter
trade network BarterTrust.com, said it named Philip
L. Letts, former chairman and chief executive officer
of beenz.com, as chief executive officer. Mr. Letts
will succeed founder Mike Edelhart as CEO. Mr. Edelhart
served as president and chief executive officer
since 1999 and will continue as director of the
company. Backers for Internet Barter include Vector
Capital, General Motors Investment Management, GE
Equity, Venture Strategy Partners, Generation Partners,
MSC Industrial Direct, PurchasePro.com, and Argus
Capital.
http://www.bartertrust.com/
_____________________________________________

o Net Authentication Systems Firm Authentor Names CEO

ENGLEWOOD, Calif -- Authentor Systems, which provides
authentication systems to secure Internet commerce
and corporate information, said it has appointed
George Schad as its new president and CEO replacing
Al Latif. Mr. Schad worked at Intergram, an Internet
protocol telephony. Authentor, formerly known as
Sentry Systems, is backed by Catalyst Partners,
FLV Fund, Sandlot Capital, and SI Venture Associates.
 http://www.authentor.com/

======= VC Fund News =======

o Venturelab Partners Launches $100 Million Second Fund

SANTA MONICA, Calif. -- Venturelab Partners said
it launched its second fund, Venturelab Delta,
a $100 million fund that will focus on Internet
telecommunications services and fund approximately
10-15 companies with an average investment of  $2.5
million each. The fund will also consider investing
in companies involved in informational technology,
computer sciences and software, electrical engineering,
pharmaceuticals, medical devices, chemistry and
chemical processes, and new media technology.
http://www.venturelabpartners.com/
_____________________________________________

o Atle Fvretagskapital Restuctures Investment Subsidiary

STOCKHOLM -- Atle Fvretagscapital is restructuring
its investment subsidiary, Teknologiparkernas Utveckling,
into Atle Ventures. The company said the maneuver
will enable it to increase its investments in early-stage
information technology companies. The company said
that part of the restructuring will entail investments
of SEK 200 million ($20.8 million) in around 20
enterprises through Atle Ventures over the next
3-4 years. Christer Nillson,  an investment manager
with Atle Fvretagskapital, will become chief executive
of Atle Ventures. Mr. Nillsen said Atle Ventures
intends to triple in size over the next five years.
Atle Ventures will assume the development and management
of investments in Accra Teknik, SuperForm, COX Analytical
Systems, Biosurface Pharma, Flexprop Production,
and C-Power.
http://www.atle.se/
_____________________________________________

o Net Value Holdings Changes Name to Stonepath Group

SAN FRANCISCO -- Net Value Holdings, a publicly
traded investment and services firm, said it changed
its name to Stonepath Group. The company plans to
expand its early-stage investment focus by making
later-stage investments and developing its technology
consulting. Net Value Holdings holds interests in
AlarmX.com, AssetExchange, BrightStreet.com, FlowerGarage.com,
Metacat, SwapIt.com, YesAsia.com, and Webmodal.

======= VC Personnel =======

o Former 3Com Ventures President Joins Matrix as a Partner

WALTHAM, Mass. -- Matrix Partners, a venture capital
firm that invests in technology companies with an
emphasis on e-commerce, said that Edgar Masri, a
 former senior executive with 3Com, has joined the
firm as a partner. Most recently, Mr. Masri was
president of 3Com Ventures and senior vice president
of 3Com's corporate business development. Prior
to that, Mr. Masri was senior vice president and
general manager of 3Com's network systems.
http://www.matrixpartners.com/

======= VW Amplification =======

o Sharing Technologies

NEW YORK -- A story in yesterday's VentureWire wasn't
clear about the sources of Sharing Technologies'
$15 million third round funding. The company raised
$9 million in equity and $6 million in a bridge
loan from IBM Global Financing.

======= VW Corrections =======

o epipeline.com

NEW YORK -- A story in VentureWire on September
13 about epipeline's new president incorrectly listed
Healtheon/WebMD, Alston & Bird, and VerticalOne
as investors in the company. The story also omitted
SunTrust Equitable Securities as an investor.

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