Mirage Networks Secures $12 Million in Series C Funding; Widespread Product Adoption, Consistent Revenue Growth and Industry-Leading Technology Result in Total Funding of $33 Million

Business Wire, Nov 18, 2005

AUSTIN, Texas -- Mirage Networks(R), developers of award-winning Full-Cycle Network Access Control(TM) (NAC) technology, today announced that it has raised $12 million in Series C Funding. Rembrandt Ventures led the round with return funding support from existing investors CenterPoint Ventures, Trinity Ventures, Adams Capital Management, and STARTech Early Ventures. Mirage Networks has now raised $33 million in capital since the company's inception in December 2001. This latest round of funding enables Mirage Networks to expand its research and development activity, and to accelerate sales and business development efforts. The company intends to capitalize on the wealth of opportunity it has created by bringing to market IT- and user-friendly technology that secures the network from threats originating from authorized endpoints at every point in the network cycle.

Rembrandt Ventures is a leading venture capital firm focused on growing stage-two companies that possess "cutting edge" technology. With more than $175 million in committed capital and more than 50 limited partners, Rembrandt's partners have positioned the firm as an invaluable investment partner. Over the past 20 years, Rembrandt and its managing directors have been involved in the formation and financing of more than 60 companies. Rembrandt's Partners collectively have more than 50 years of investing, entrepreneurial and operating experience.

"Growing security threats represent real pain for organizations across the board. Today, security threats originating on internal networks can have both immediate, financial costs that hit the bottom line, as well as long-term, legal ramifications for top-level decision makers," said Jerry Casilli, General Partner, Rembrandt Ventures. "Mirage Networks' solution not only addresses this pain, it does so without introducing new pains into the customer environment. Its approach has garnered a sizable customer base and strong market validation, and its management team has the experience required to capitalize on this tremendous market opportunity. Rembrandt is very pleased to join this winning team."

Mirage Networks technology addresses threats and vulnerabilities on endpoints both on network entry and post-admission in the real world of heterogeneous networks, countless IP device types, and unmanaged endpoints. Its Full-Cycle NAC solution is a case in point, as it allows for flexible and scalable deployment that can be implemented regardless of OS, device type and infrastructure, and customized to meet specific customer needs, while providing comprehensive interior network security capabilities. Its award-winning behavioral rules provide out-of-the-box functionality for fast ROI, and its self-contained quarantine and self-remediation functionality assures low total cost of ownership.

In the last year, Mirage Networks has gained impressive acceleration in the marketplace with noteworthy customer wins including Penn State University and Kern Schools Federal Credit Union, as well as partners such as SBC Communications and Avaya. Additionally, Mirage Networks was featured in industry-leading analyst group Gartner's "Cool Vendors in Security and Privacy for 2005" and has been the recipient of multiple product awards, including an Information Security Product of the Year bronze award and a Jolt Productivity Award.

"Our proven technology and significant customer traction in multiple industries resulted in considerable interest from the venture capital community," said Toney Jennings, president and CEO of Mirage Networks. "With their remarkable management experience and extraordinary track record in growing young companies into profitable corporations, we believe that Rembrandt Ventures is a perfect complement to our team. We welcome their guidance in our next phase of expansion, and are excited to receive this latest endorsement of our market and technological leadership."

About Mirage Networks

Mirage helps enterprises defend their networks from day-zero threats and policy violations with full-cycle Network Access Control technology. The patent-pending software behind the CounterPoint appliance product family uniquely protects the network interior, controlling network access for any endpoint, no matter the operating system or device, without agents, signatures, rearchitecture, or high overhead. For more information about comprehensive internal network protection at a low total cost of ownership, visit www.miragenetworks.com.

About Rembrandt Ventures

Rembrandt Ventures, established in 1997, is a private equity venture fund which targets investments in early and expansion stage high technology companies that demonstrate potential for significant growth. Collectively, Rembrandt and its Principals have assisted in the formation and financing of more than sixty companies. For additional information, visit www.rembrandtvc.com.

About CenterPoint Ventures

CenterPoint Ventures is a Texas Venture Capital firm with over $400 million under management. The firm invests primarily in early stage high technology companies that reflect the partners' collective knowledge base and industry experience within the communications infrastructure, semiconductor and new emerging technology segments of the market.