Neoforma Receives $12 Million in Equity Funding; Delphi Ventures Leads Investment, General Partner David Douglass Joins Board

Business Wire, March 9, 1999

SANTA CLARA, Calif.--(BW HealthWire)--March 9, 1999--Neoforma, Inc., the online leader in the business-to-business global electronic healthcare marketplace, today announced it has completed a $12 million third round of equity funding led by Delphi Ventures. The round also included investments by TCW/ICICI Investment Partners, Venrock Associates, Amerindo Investment Advisors, MedVenture Associates, TTC Ventures and Comdisco.

Neoforma also announced the addition of David Douglass, general partner, Delphi Ventures, to its board of directors. Douglass manages Delphi's investments in medical device and service companies and will help guide Neoforma's strategic direction.

"Our experience in this market suggests that the healthcare industry is ready to focus on technology as a business solution," said David Douglass. "Neoforma's vision of transforming the healthcare business via the Internet is timely. The company has the expertise and the resources to substantially improve the process of healthcare purchasing and, as a result, patient care."

"This investment will support our expansion of Neoforma's electronic marketplace and our ability to aggressively market neoforma.com to the global healthcare industry," said Jeff Kleck, CEO of Neoforma. "Neoforma will increase its sales force, prepare its technology infrastructure for exponential growth in traffic and usage, and add additional industry experts to its management team."

About Neoforma

Neoforma is the leader in the business-to-business electronic global healthcare marketplace. The company is transforming the healthcare industry by delivering information to the people who need it using the proven efficiencies of the Internet. Neoforma was founded in 1996 in response to the needs of the healthcare industry for direct, timely access to product information and facility planning. Today, neoforma.com (http://www.neoforma.com) supplies the world's largest online database of medical products and services to enable commerce among healthcare professionals primarily involved in paper-based interchanges, including product and service vendors, healthcare providers, hospital administrators and professionals, charitable medical organizations, professional associations, materials managers and facility designers and planners.

Note to Editors: Neoforma and www.neoforma.com are registered trademarks of Neoforma, Inc.