Teradici Corporation Completes US$8.3 Million Financing; Former Dell, PMC-Sierra Executives Join Teradici Board of Directors

Business Wire, Dec 17, 2004

BURNABY, British Columbia -- Teradici Corporation, a new fabless semiconductor company developing solutions for next-generation personal computers, tablets, and handhelds, today announced completion of an initial US $8.3 million ($10.2 million Canadian) financing program.

The funding round was led by Vancouver-based GrowthWorks Capital Ltd., manager of the Working Opportunity Fund, and syndicated with strong participation by two of Canada's leading early stage investment firms, the Business Development Bank of Canada (BDC), and Skypoint Capital Corporation. The new funding will be used to develop the company's initial product, including silicon, software, and customer reference designs.

Investors joining the board include Geoff Catherwood, a Director with BDC's Venture Capital Group, Peter Diedrich, a Partner with Skypoint Capital, and Joseph Timlin, Vice President, GrowthWorks Capital.

"The application of Teradici's technology to enterprise and distributed computing will redefine how PC functionality is deployed and managed," Diedrich said. "With this funding, the Teradici team is emerging as an innovative leader that is delivering a key enabling technology to the market. Skypoint Capital is excited to be investing in Teradici as our first Vancouver-based investment."

"When the Teradici executives approached BDC, they brought a compelling concept for the technology required to address a unique and widespread problem. They have built an excellent team, and with this financing are well-positioned to execute their plan," added Catherwood.

"The Teradici founders have done a spectacular job in recruiting top tier talent, and in getting visibility into the leaders of the personal computer industry," said Timlin. "GrowthWorks is also very pleased that the financing was completed with two of Canada's largest and most respected financial partners."

Teradici is founded by a group of successful leaders from world-class semiconductor companies. Dan Cordingley, President and CEO, has held general management roles at Intel Corporation and Level One Communications. Maher Fahmi, VP of Silicon Engineering, was previously Director of Product Development for service provider products at PMC-Sierra. Ken Unger, VP of Software Engineering, was previously Director of Engineering at Broadcom for VoIP products. David Hobbs, Chief Architect, was VP of Engineering and CTO for Spectrum Signal Processing and held lead technical roles at Gemini Technologies, now Seiko-Epson. Sam Davison, VP of Finance, served as Controller for Broadcom's Carrier Access and Mobile Communications business units.

Industry Leaders Join Teradici Board

Teradici also announced today the appointment of two industry visionaries to the company's Board of Directors.

Joining as Chairman is Kevin Huscroft, who brings a wealth of silicon and systems development expertise to Teradici. Mr. Huscroft was a founder of PMC-Sierra, and led PMC-Sierra's product development efforts from 1992 through 2002 where he served as VP, R&D and CTO. "Teradici has developed a unique business plan that requires talent from many different industry disciplines and sectors," Huscroft said. "With a strong founding team in place, I am very confident of Teradici's ability to deliver world-class solutions."

Also joining the Teradici board is Randy Groves, most recently CTO for Dell, Inc., of Austin, Texas where he had also served as General Manager of Dell's Enterprise Systems Group. His career also includes leadership positions in server and microprocessor development for IBM. "Both computer users and IT departments can realize exciting new benefits from Teradici's technology," Groves said. "The worldwide market opportunity is truly significant."

"It is a privilege to be associated with such a blue chip group of investors and board members," said Cordingley. "We look forward to leveraging their industry relationships, deep domain knowledge, and strategic advice as critical elements for Teradici's success."

About Teradici

Teradici Corporation is a fabless semiconductor company developing innovative technology for next-generation computer form factors. Through a combination of unique algorithms and high-performance silicon processing, the company is focused on enabling a new approach for how personal computers are deployed and managed. Teradici is headquartered in Burnaby, British Columbia, Canada. More information will be made available at www.teradici.com.

About GrowthWorks Capital

GrowthWorks is a recognized leader in venture capital fund management with proven experience in the raising, investing and managing of capital. GrowthWorks(TM) managed funds, including the Working Opportunity Fund and GrowthWorks WV Funds, have a combined $750 million in assets. GrowthWorks has a team of skilled and knowledgeable investment professionals with a combined 200 years of experience. The investment team has a proven track record of identifying, structuring and negotiating investments in companies in emerging sectors. GrowthWorks is a registered trademark of GrowthWorks Capital Ltd. For more information, visit www.growthworks.ca.