Beansprout Networks Completes $21.25 Million Series C Financing Round.

Business/Technology Editors

CAMBRIDGE, Mass.--(BUSINESS WIRE)--May 10, 2000

Beansprout Networks(R) (Beansprout.net), an online hub which enables pediatricians and child care professionals to enhance interactions with the families they serve and the vendors that serve them, today announced that it has received $21.25 million in Series C funding. These proceeds provide the Company with necessary working capital to increase its base of enrolled pediatricians and child care professionals and enhance the services offered to these audiences.

The funding was led by Claneil Enterprises, Inc., which is a private holding company whose investment portfolio consists primarily of privately held healthcare, e-health, personal care and retail businesses. Additional participants in the financing round include Chase Capital Partners and Domain Associates who are returning for more than the pro rata share they each purchased in the company's Series B round of financing; and new investors Investcare Partners, eHealth Technology Fund and the Boston University Community Technology Fund.

"Beansprout.net provides a unique service among Internet companies in that it uses web based technology to link parents with their most trusted resources for their children's care - their own pediatrician and child care providers," said Claudie E. Williams, Claneil Executive Vice President. She continued, "The combination of a deep understanding of the importance of these relationships and their demonstrated ability to aggregate audiences enhances the Beansprout.net overall business model."

Beansprout.net also announced that Ms. Williams would join Beansprout.net's Board of Directors with the closing of the financing round.

Domain Associates is based in Princeton, NJ, and invests primarily in early-stage healthcare technology companies. "We have chosen to reinvest in Beansprout.net based on their growth and penetration into the pediatric and child care professional channels over the past six months," says Bob More of Domain Associates. Chase Capital Partners, a global private equity firm has investments in the healthcare and technology sectors, including MedSite.com, Intertrials, HalfthePlanet.com, and Health Hero Network.

"We are pleased to welcome our new investors and are excited to continue to strengthen our relationships with Domain and Chase," said James Chung, Beansprout.net Chairman and CEO. "The continuing and growing support of such a prominent list of investors reaffirms Beansprout.net's critical role in enabling connectivity for child health and development professionals with the families they serve and the vendors they access regularly."

Beansprout Networks is the first online hub solely focused on enabling pediatricians and child care professionals to enhance interactions with the families they serve and the vendors that serve them. Beansprout.net brings the benefits of today's technology to those who care for children by providing free, customizable websites to pediatricians, licensed child care providers and child care resource and referral agencies. Beansprout.net is staffed by professionals from the pediatric and child care fields, enabling the company to supply relevant and credible resources to families and providers. The Beansprout Marketplace(SM) provides for the exchange of information, goods and services for pediatricians and child care providers with vendors. Beansprout.net is a privately-held company located in Cambridge, Massachusetts. For more information, visit the company's website at http://www.beansprout.net.