VentureWire Alert <http://alert.venturewire.com> 	 For Jeffrey Dasovich, Enron 	


VENTURE 
MARKET 
SUMMARY 

	Proficient Networks emerged from stealth mode led by a team of executives looking to regain the winning touch. Proficient's four founders worked together at Digital Island and then moved to Telegis Networks, which got hit hard by the collapsing Web-hosting market and went out of business earlier this year. At Proficient, the team has built a network management appliance that enables companies to route network traffic based on their access policies. The company secured $6 million in Series A funding from Canaan Partners and El Dorado Ventures in May and is looking to raise $10 million to $20 million in Series B next year. 

Three mergers also topped the news as Netegrity bought DataChannel in a $54 million deal. Online newspaper classifieds firms, PowerAdz and AdOne, also linked up as did Intelliseek and PlanetFeedback.com. 

As the week grinds to a close, 12 companies reported raising $48 million. Proving that beauty to investors is skin deep, Switch Biotech, a developer of medications for dermatological conditions, scratched out EUR 18 million ($16 million) in its third round. And VentureWire has learned that Kyma Technologies, which develops nitride substrates for use in optoelectronics, communications, and microelectronics industries, raised $2.6 million in its Series A, led by a consortium of past individual investors. - By John Fuller <mailto:fuller@technologicp.com>	


The complete text of the stories below, as well as 15 additional venture-capital and private-company stories, are available today exclusively to subscribers to our new, premium service, VentureWire Professional. Find out more. <http://professional.venturewire.com/m2_professional.asp> 

EXECUTIVE SUMMIT 
The Fairmont
San Jose, CA
November 6, 2001

Executive Summit <http://events.venturewire.com/summit/>Guy Kawasaki
Chief Executive Officer
Garage Technology Ventures


Guy is master of the brash and provocative business motto, and famous for memorable advice about starting companies and keeping them alive, often with unorthodox and unexpected tactics. An author and high-profile columnist, he is CEO of Garage Technology Ventures, formerly Garage.com, a venture capital investment bank that since 1999 has raised over $310 million in equity financing for its client companies in 79 transactions. Guy has written seven books, including 'Rules for Revolutionaries'. And on November 6, at the Fairmont in San Jose he will be sharing his insight on what start-ups need to do to grow in 2002. Register today for one of the remaining places.  <http://events.venturewire.com/summitEvent.asp>	

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How to Get Ready Today to Get Bought Tomorrow

Mergers and acquisitions will pick up again, perhaps
before IPOs do, and few know more about preparing for
such an exit strategy than Matt L'Heureux,
Steve Smith, and Les Vadasz. Currently advising HP on
its $21 billion takeover of Compaq, Matt heads Goldman's
worldwide technology M&A. Steve built Broadview's
Silicon Valley business. Les, head of Intel Capital,
runs one of the world's most extensive corporate
development and acquisition programs. You'd be hard-
pressed to find professionals better qualified to tell
you how to find the right corporate partner and make
the relationship work. For straight talk from the voices
of authority, register today.

VentureWire Executive Summit
Managing the Downturn: Survival Strategies for 2002
The Fairmont, San Jose
November 6, 2001

	http://events.venturewire.com/summit/default.asp <http://venturewire.com/ads/ad.asp?id=1453>
 advertise <http://alert.venturewire.com/adv.asp>
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VENTUREWIRE INDEX <http://venturewire.com/index.asp> VentureWire Index <http://venturewire.com/index.asp>
493.6   -0.30% 	
NOTABLE DEALS


Digital Island Veterans Launch Proficient Networks	  mail <http://alert.venturewire.com/o_mailer.asp?sid=IHJPOPJNII>  	
SAN FRANCISCO -- Proficient Networks, a provider of network management appliances that enable companies to route network traffic based on their access policies, has launched and expects to ship its first product by the end of the year, CEO Allan Leiwand told VentureWire. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.proficient.net> 	

Netegrity to Acquire DataChannel in $54 Million Deal	  mail <http://alert.venturewire.com/o_mailer.asp?sid=LHNKONJNII>  	
WALTHAM, MASS. -- Netegrity, a publicly traded provider of applications for securely managing e-business relationships, said it signed an agreement to acquire Bellevue, Wash.-based DataChannel, a privately held provider of enterprise portal technology in a deal worth about $54 million. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.datachannel.com> 
<http://www.netegrity.com> 	

Switch Biotech Gets $16 Million in Round Three	  mail <http://alert.venturewire.com/o_mailer.asp?sid=QNMKJQINII>  	
MARTINSRIED, GERMANY -- Switch Biotech, a developer of medications for dermatological conditions, said it received EUR 18 million ($16 million) in third-round funding. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.switch-biotech.com> 	

Telcordia Spinout Telelogue Raising $10 Million Series B	  mail <http://alert.venturewire.com/o_mailer.asp?sid=NOLOKHINII>  	
ISELIN, N.J. -- Telelogue, a spinout from Telcordia Technologies that offers software applications to enable telephone users to search databases and directories, has begun raising its Series B round, according to chief operating officer Robert Burke. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.telelogue.com> 	



Nitride Substrates Firm Kyma Raises $2.6M First Round	  mail <http://alert.venturewire.com/o_mailer.asp?sid=MJJLJLHNII>  	
RESEARCH TRIANGLE, N.C. -- Kyma Technologies, which develops and supplies nitride substrates for use in optoelectronics, communications, and microelectronics industries, has raised $2.6 million in its Series A, according to president and CEO Ed Pupa. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.kymatech.com> 	

Infrastructure Software Firm Systinet Launches With $2.3M	  mail <http://alert.venturewire.com/o_mailer.asp?sid=NIJOKMJNII>  	
CAMBRIDGE, MASS. -- Systinet, a provider of Web services infrastructure software, has announced its launch with $2.3 million in seed round financing. The company also said it changed its name from Idoox to Systinet. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.systinet.com> 	

Sales Automation App Firm Selltis Lands $3M in Second Round	  mail <http://alert.venturewire.com/o_mailer.asp?sid=NOOKOIINII>  	
NEW ORLEANS -- Selltis, a provider of industrial sales automation software, said it raised $3 million in its second round of funding. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.selltis.com> 	

GiftCertificates.com Gets $4.4M More in Fifth Round	  mail <http://alert.venturewire.com/o_mailer.asp?sid=NKPHHLJNII>  	
SEATTLE -- GiftCertificates.com, a provider of gift certificates and related services for corporate customers and consumers, said it has raised $4.4 million in a second close of a fifth round of funding for the company, bringing the round to a close with $18.6 million in equity and $7.5 million in credit. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.giftcertificates.com> 	


Unlocking the Promise of Good Science:
The Investor's Perspective

Good science doesn't always equate with good investment
opportunity. Generations of investors have been burned
and rewarded for taking risks on the potential of early-
stage therapies.  The drug discovery process is a complex
combination of tests and hurdles for young companies.
Where are the signposts for investors?  James Reddoch of
Banc of America Securities will moderate a special
roundtable dedicated to drug research and discovery at
this year's Healthcare Outlook Conference.  The experience
of the panelists reflects the complex considerations of
modern research and development.  Mr. Reddoch is joined by
Michael Grey of Structural Genomix, Daniel Janney of Alta
Partners, Gary Zweiger of Agilent Technologies and Lowell
Harmison, Former Deputy Assistant Secretary for Health,
Department of Health and Human Services.

Healthcare Outlook, January 22, 2002
San Francisco Airport Marriott, Burlingame, CA

http://www.healthcareoutlook.com <http://venturewire.com/ads/ad.asp?id=1454>

Document Management Firm Flywheel Communications Shuts Down	  mail <http://alert.venturewire.com/o_mailer.asp?sid=LLOIQQINII>  	
SAN FRANCISCO -- Flywheel Communications, a provider of document management software, has shut down, a company spokesperson said. [more.. <http://professional.venturewire.com/prostory.asp>]
<http://www.flywheel.com> 	



Pervasive Computing Outlook

As we enter the era of digital anything, companies
are vying to capitalize on the market growth created
by increasingly portable and ubiquitous computing power.
The uneven economy has not deterred the focus on new
technologies, or the related products and services that
are quickly emerging. Atheros, Embrace, Phototablet,
and XDegrees are just a handful of the companies that
will share their plans to use real-time, wireless
communication to create more intelligent, connected
business opportunities. Meet the companies, investors,
and executives best positioned to spearhead the
pervasive vision. Register now and SAVE $300.

Pervasive Computing Outlook
December 4 & 5, 2001
San Francisco Airport Marriott

	http://www.pervasivecomputingoutlook.com/register.asp <http://venturewire.com/ads/ad.asp?id=1455>

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