IntraLinks Launches 105 Deals in Q2 2004; `Network Effect' of Virtual Deal Making and Repeat Use by Banks Drives First Half Growth; Virtual M&A Expected to Rise 35% in Second Half

Business Wire, July 13, 2004

NEW YORK -- IntraLinks, Inc., the leading provider of virtual data rooms to the M&A industry, today announced that 105 M&A transactions were conducted on its service in the second quarter of 2004, a 31.25% jump over the 80 deals seen in Q1. For the first six months of 2004, IntraLinks' virtual data rooms were used in 185 deals, a 270% increase over the 50 deals seen in the first half of 2003.

The company attributed the growth in part to the "network effect" of the virtual data room, whereby parties who were first introduced to IntraLinks as buyers are now choosing the service as sellers. Approximately 30,000 bankers, attorneys, consultants, buyers and deal advisors have used IntraLinks' virtual data rooms since 1999.

Repeated use of IntraLinks by investment banks accounted for a significant portion of the second quarter's deals, as advisors seek to conduct thorough due diligence in an increasingly active deal environment. All of the top 20 investment banks have used IntraLinks' virtual data rooms for M&A transactions.

Outside the U.S., Europe and the U.K. were particularly aggressive in taking deals online. "Virtual data rooms have gone from being a tool for early adopters, to business as usual for deal makers," said Rob Fisher, Managing Director for IntraLinks in Europe and Asia.

"Worldwide, we expect to see 35% growth in virtual data room usage in the second half of 2004," said Matthew Porzio, Vice President of M&A at IntraLinks.

About IntraLinks

IntraLinks (www.intralinks.com), the leading provider of digital workspaces, connects business communities and accelerates the intelligent flow of information and documents among participants. Through IntraLinks' secure, neutral, online environments, companies are better able to compete globally by accelerating essential business processes, simplifying communication, and fostering rapid workflow. IntraLinks is easily accessible anywhere, anytime using a web browser.

Since April 1997, more than 150,000 participants representing over 13,000 companies worldwide have used IntraLinks digital workspaces to communicate and collaborate on more than 15,000 projects and transactions. IntraLinks has been rapidly adopted by the financial services and pharmaceutical markets. Over 250 global companies are IntraLinks clients, including AstraZeneca Pharmaceuticals LP, Bank of America, Bank One, Bear Stearns; Deutsche Bank, Dresdner Kleinwort Wasserstein, Ernst & Young; FDIC, Houlihan Lokey Howard & Zukin, International Finance Corporation (World Bank Group), JPMorgan Chase, TD Securities, Thomas Weisel Partners, Wachovia Securities and WestLB. Founded in June 1996, IntraLinks is headquartered in New York with offices in Boston and London.