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ALL INFORMATION EMBARGOED UNTIL 12 MIDDAY
15 MAY 2002
FUND PROFILES – BACKGROUNDER

NZ Biotech Fund No. 1 Limited (Quest VC Limited)
Southlander Howard Paterson and his fellow directors believe there is an
“underdeveloped source of wealth in the ideas generated by New Zealand’s life
scientists.” This fund, managed by Dunedin’s Quest VC Limited, will focus on
commercialising agri-biotech innovations. Howard, NBR’s “New Zealander of
the Year”, is one of the country’s top entrepreneurs. He’s invested in a stable of
biotech companies including A2 Corporation, BLIS Technologies, Botry-Zen,
PharmaZen and CG Surgical. Other Quest VC directors include Dr Max
Shepherd, former professor of experimental biology and founder of biotech
companies including bioSouth, which specialises in taking science to the market;
Dr Cheung-Tak Hung, former senior lecturer and researcher at the University of
Otago who, since 1988, has focused on commercialising science innovations;
Mike Bennett, a former partner with Russell McVeagh and one of the top biotech
patent attorneys in Australasia; David Parker, a former South Island law partner
who has played a pivotal role in creating recent biotech start-ups promoted by
Howard Paterson; and Stuart McKenzie, a successful engineer and project
manager now focused on commercialising NZ inventions.

Endeavour I-Cap
Endeavour Capital Limited will lead and manage the fund working closely with Icap Partners Limited, Industrial Research and the University of Waikato.
Endeavour was founded by Neville Jordan and Mark Dossor. Neville was the
CEO and founder of MAS Techology Limited, a leading edge developer of
microwave radio which listed successfully on the NASDAQ in 1997. (It was later
merged with a US based company). I-Cap was formed in 2000 by Dr David
Teece, a kiwi expat in the US, and NZ based investment bankers Tony Hannon
and Nick Lodge as a private equity firm. It has offices in Auckland, San
Francisco and Luxembourg. David Teece is the chairman of LECG, a significant
global economics consulting business, and is the Mitsubishi Bank Professor of
International Business and Finance at the University of California (Berkeley).

IO Fund
This fund is a joint venture between Infratil, the listed New Zealand infrastructure
investment company, and Orion New Zealand, a South Island electricity network
management company. The fund will led by Ian McInnes head of IT and Systems
Development from Orion New Zealand and Graeme Thomson of HRL Morrison.
Orion has already invested in and helped develop some significant and innovative
New Zealand companies. With $60 million invested in venture capital in the last
decade, Orion has a stake in Pulse Data International (based in Christchurch)
which has developed electronic devices for blind and partially sighted people.
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These devices are now exported throughout the world. Orion also has a stake in
Transflux, an innovative fluid heater developed in Christchurch, which is being
manufactured and marketed around the world. Last year, Orion also signed a
contract with Toshiba International Corporation for distribution of its products to
Asia-Pacific and India.

iGlobe Treasury Funds
This is a joint venture between established Singaporean venture capital company
iGlobe partners (headed by Soo Boon Koh) and New Zealand based merchant
banker Tony Bishop. IGlobe Partners are a venture fund that operates globally
from Singapore, investing in technology driven companies which are able to grow
quickly. Its current portfolio includes: 3PAR, a storage system company based in
California which simplifies the consolidation and centralisation of information;
Excelics Semiconductor, based in California, which provides high performance
RF and microwave devices based on advanced material and design.
New Zealand based Tony Bishop, through TMFL (Treasury Merchant Finance
Limited) has focused on providing equity and management support of recent
years to start up technology companies.

TMT Ventures
This is one of Australasia’s largest early stage venture programmes. It targets the
region’s converging telecommunications, media and technology sectors. Initiated
by seed investor Telecom New Zealand, TMT Ventures is a joint venture between
Direct Capital Private Equity and US based Advent International. Direct Capital
has invested in excess of NZ$130 million since it was established in 1994, and
has completed 31 investments, including 15 in the technology sector and six in
start-up companies. Notable successes include Genesis, PC Direct and Blue Star.
Twenty-eight institutional investors have invested in Direct Capital, including
nine from offshore. Direct Capital also manages a $15 million seed and early
stage fund for Carter Holt Harvey. Advent International is a leading US venture
firm with 17 offices around the world and over US$5 billion under management.
TMT Ventures’ key executives include Ross George, a founding director of
Direct Capital Private Equity; Gavin Lonergan, Campbell Olsen and Esther
Vernon.

No 8 Ventures – 2002 Fund
No 8 Ventures is an established fund manager with international links, strong
private investment, and a focus on IT, electronics and biotechnology. Established
in 1999, its first fund of NZ$27 million is fully committed in nine investments.
No 8 Ventures seeks to invest in New Zealand technology companies able to
grow and list on major exchanges. Director Jenny Morel also founded Morel &
Co Ltd, an investment bank that specialises in technology companies. Director
Peter Allport is chairman of New Zealand Crop and Food Research Ltd and
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recently retired as chairman of Tourism New Zealand. Franklin “Pitch” Johnson,
who will “mentor” and advise the fund, is a legend of venture capital in Silicon
Valley and was founding funder of Amgen, the largest biotech company in the
world. No 8 Ventures’ Investment Committee includes Dennis Chapman
(founder of Christchurch’s Swichtec); Hugh Fletcher, former Chief Executive of
Fletcher Challenge Ltd; Andrew Lark, Vice President of Global Communications
and Marketing for Sun Microsystems; and Alastair Scott, an investor in No 8
Ventures who formerly served as Managing Director for Credit Suisse Financial
Products and CS First Boston in London and Tokyo.
ENDS