AlphaBlox Corporation Raises $34 Million in Mezzanine Financing; AlphaBlox's Rapid Growth and eBusiness Opportunity Drive Investor Oversubscription.

Business Editors/Technology Writers

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--March 6, 2000

AlphaBlox Corporation, provider of the industry's first open, Web-based platform for delivering analytical applications that optimize eBusiness efficiency, today announced that it has secured $34 million in funding in a private round of financing. The round was led by Meritech Capital Partners and included new investors Bowman Capital Management and Hambrecht & Quist's Access Technology Partners. Existing investors Accel Partners, Mohr, Davidow Venture Partners, Integral Capital, Goldman-Sachs, Ignite, and Cambridge Technology Partners reaffirmed their commitment to AlphaBlox by maintaining or increasing their equity stake in this round of financing.

With significant customer momentum in both U.S. and international markets, AlphaBlox plans use the infusion of capital to expand operations to better meet the needs of their growing global customer base. "The tremendous support of our existing investors enabled us to well exceed our financing goals and attract new investors," said Michael Skok, chairman and CEO of AlphaBlox. "This infusion of capital provides us with a 'war chest' to expand our sales, marketing, and service initiatives, build up our eBusiness infrastructure, and accelerate our development efforts. We plan to rise above the noise in the eBusiness analysis market space, drive ahead of the competition, and sustain a leadership position in the B2B analysis market."

"Since its inception, AlphaBlox has articulated a consistent, compelling vision," said Nancy Schoendorf, managing partner at Mohr, Davidow Venture Partners. "AlphaBlox has built on that vision, attracting a world-class team of executives and willing validation from Fortune 1000 customers. This, combined with AlphaBlox's leadership opportunity in the emerging eBusiness analysis marketplace drove Mohr, Davidow's decision to not only reinvest in the most recent round, but to actually increase our equity stake in AlphaBlox."

"AlphaBlox has a unique and compelling proposition in a huge and distinct marketplace," said Paul Madera, managing director at Meritech Capital Partners. "We are confident that AlphaBlox will maintain their leadership position in the rapidly growing eBusiness analysis market."

About AlphaBlox

AlphaBlox Corporation provides the industry's only 100% Web-based platform for delivering analytical applications that optimize eBusiness efficiency. With AlphaBlox, companies can share and analyze information with customers, partners, and suppliers to build eBusiness communities, foster more profitable eBusiness relationships, and improve business performance.

Leveraging AlphaBlox's unique "building Blox(tm)" approach customers and partners can quickly assemble and deploy a variety of customized analytical applications for measuring and improving eBusiness operations, financial performance, customer/product profitability, distribution channels, and the supply chain. Leading organizations such as Deutsche Bank Securities, AT&T, Pfizer Pharmaceuticals, Hewlett Packard, Toyota Motor Company, and ChannelPoint rely on AlphaBlox solutions to turn their information assets into strategic advantage. Additional information on AlphaBlox Corporation and its products can be obtained by calling 888/256-9669 or via the company's web site at www.alphablox.com.

AlphaBlox is a trademark of AlphaBlox Corporation