Caly Networks Receives $31 Million in Second Round of Funding From Goldman Sachs, Sprout, Siemens, And Others

Business Wire, April 12, 2000

Business Editors

SUNNYVALE, Calif.--(BUSINESS WIRE)--April 12, 2000

Caly Networks of Sunnyvale, California. and its subsidiary CALY Networks Europe Limited of Gerrards Cross, U.K., today announced it has received $31 million, in its second round of financing.

The Goldman Sachs Group, Inc. and its affiliates led the round, followed by Sprout Venture Capital, Siemens Mustang Ventures, and Pacific Technology Investment.

The second-round investors have joined ComVentures, Lucent Venture Partners, Nokia Ventures, and Worldview Technology Partners, to create a first-class investors team that will back and support CALY Networks strategically and financially. "We are pleased to have joined by such a reputable and strategic team of supporters" said Dr. Josef Berger, President and CEO, CALY Networks. "The combination of solid financial and strategic investors will lend CALY a competitive edge and solid backing."

"Broadband wireless access is emerging as one of the hottest areas of communications networking, and CALY's solutions provide wireless carriers with an effective and compelling means to convert their wireless spectrum investments into revenue generating services, while delivering to their customers high bandwidth, high value services," said Joe DiSabato of Goldman Sachs.

About CALY Networks

Founded in 1998, CALY Networks addresses the high-speed wireless Internet market segment. By integrating advanced wireless transmission with innovative networking technology, CALY is redefining the market for broadband access, enabling the New World Service Providers to deliver the Business Internet at breakthrough economics. CALY is developing strategic alliances with leading telecommunications systems integrators to provide total solutions for its customer base. CALY has offices in Sunnyvale, California, and in Gerrards Cross, United Kingdom.

About Nokia Ventures

Based in Menlo Park, Nokia Ventures L.P. is a US$100 million venture capital fund formed in 1998 to invest in early stage, high-growth companies in the areas of e-commerce, information technology and communications. Nokia Corporation has invested in the fund with the express intent to gain exposure to new markets, business models and technologies beyond the reach of Nokia's current business unit strategies. Nokia Ventures seeks partnerships with leading-edge companies attacking high-growth market opportunities that will benefit from the combined resources, experience and contacts of the Nokia Ventures team and from the association with a world-class brand. For more information visit www.nokiaventures.com

About Lucent Venture Partners

Lucent Venture Partners, Inc. is a wholly-owned venture capital subsidiary of Lucent Technologies with offices in Palo Alto, California and Murray Hill, New Jersey. Formed in 1998, the group invests in early-stage technology companies in high-growth communications areas such as optical, data and wireless networking, semiconductors, communications software, professional services and e-commerce. The current fund, LVP II, was capitalized in January 2000 at $150 million; the original fund, LVP I, was capitalized in February 1998 at $100 million and is now fully committed. LVP brings the unique ability to facilitate business relationships between our portfolio companies and Lucent's operating units, when appropriate. More information about Lucent Venture Partners is available at http://www.LucentVenturePartners.com/ .

About Siemens Mustang Ventures

Siemens Mustang Ventures is the venture capital group of Siemens Information and Communication Networks, a global leader in communications and information technology. Located in Santa Clara, Calif., and Munich, Germany, the company targets innovative technologies with world-class potential. More information is available at http://www.mustangventures.com.

About Goldman Sachs

Goldman Sachs is a leading global investment banking and securities firm, providing a full range of investing, advisory and financing services worldwide to a substantial and diversified client base, which includes corporations, financial institutions, governments and high net worth individuals. Founded in 1869, it is one of the oldest and largest investment banking firms. The Firm is headquartered in New York and maintains offices in London, Frankfurt, Tokyo, Hong Kong and other major financial centers around the world.

About Sprout

The Sprout Group is one of the oldest and largest venture capital firms in the US. Since 1969, Sprout has helped finance more than 300 companies with combined sales exceeding $40 billion. With offices in Menlo Park, New York, and Chicago, Sprout focuses on helping to grow technology companies in communications, e-commerce, and e-healthcare. Active investments include Astral Point, Avici, Blue292, CheMatch, Corvia Networks, eHealthInsurance.com, Ennovate Networks, Family Education Network, FogDog (Nasdaq: FOGD), GlobeSpan (Nasdaq: GSPN), GroceryWorks.com, Healtheon/WebMD (Nasdaq: HLTH), iAsiaWorks, MarketFirst, Mondera.com, mySimon (acquired by CNET), NetEffect, Netcore Systems (acquired by Tellabs), NetLibrary, Paradyne (Nasdaq: PDYN), Perfecto Technologies, Quintus (Nasdaq: QNTS), Rhythms NetConnections (Nasdaq: RTHM), Rotor Communications, Silicon Access Technology, Tavolo, Torrent Networking Technologies (acquired by Ericsson), and Worldwide Fiber. For further information on the Sprout Group, please visit our web site at http://www.sproutgroup.com