Cenetec Technology Accelerator Companies Defy Tough Market to Meet Milestones.

Business Editors/High-Tech Writers

BOCA RATON, Fla.--(BUSINESS WIRE)--March 21, 2001

In a shakeout year for technology incubators nationwide, Cenetec LLC, the technology accelerator company, is demonstrating the success of its pioneering model. In its first year, Cenetec and its client companies have attracted nearly $18 million - including nearly $5 million for Cenetec in private investor equity announced today -- and initiated acceleration programs for nine companies. Its first class of portfolio companies is achieving significant milestones - poised to generate revenues in the near-term.

Cenetec continues to refine its focused business strategy to weather the tough economy. "Tight markets constrict capital, but there are always dollars for the best companies, and that's what we're building," said President Scott H. Adams. "We steered clear of the dot-com frenzy, because we were determined to create a new model. Cenetec demands our technology ventures `stay grounded,' even while launching in emerging markets."

To address funding, Cenetec is broadening opportunities for client companies by acquiring an interest in an NASD-licensed broker-dealer. Formerly known as Crossbow Capital LLC, the new entity operates under the guidance of President Michael Yasi. Details of the transaction will follow NASD approval.

Cenetec's acceleration model adapts to promising technology ventures at many stages of development -- from 30-year-old companies and corporate spin-offs, to early-stage entrepreneurs. It rigorously screens applicants - more than 1,000 to find its initial nine companies. The first to enter the program are now testing the Cenetec model in a demanding economy, and demonstrating its value with tangible accomplishments:

Esemde Wireless Messaging. While in the Cenetec program, Esemde attracted the attention of ComROAD AG, the German-based worldwide leader in telematics networks. ComROAD invested in the start-up, forming a strategic partnership to market Esemde's customized wireless data messaging technology and services worldwide. Esemde's software and services solution bridges the gap between wireless carriers and application service providers, with applications ranging from remote monitoring, diagnostics, notification, and repair of field devices to vehicle command and control for auto and taxi fleets.

Esemde plans to leave Cenetec's Boca Raton accelerator for new offices in the coming months, but Cenetec, which maintains an equity interest and a board seat, will continue to play a key role.

OmniCluster Technologies, Inc. This early-stage company acquired IBM-originated network technology that significantly cuts the cost and complexity of managing PC networks and clustered server environments. It previewed the product at COMDEX to excellent reviews, and was one of 40 firms chosen to present at Red Herring magazine's Southeast Venture Capital Conference in Atlanta in March. In April, it will preview a new product at ISPCON in Las Vegas.

Now finalizing the development and commercialization of its technology, OmniCluster has already obtained over $6 million in venture capital commitments from a group led by HIG Capital of Miami, including Crossbow Ventures.

APA Wireless Technologies. Cenetec guided APA Wireless, part of a 30-year-old family of vertically integrated enterprises, in introducing its proprietary YRO(TM) radio frequency technology. The new digital YRO technology dramatically improves the reliability, speed and economy of broadband fixed wireless communications. The company is completing beta testing for its new generation of high performance radio frequency components, and preparing for initial production as patents are filed.

Cenetec's first accelerator, located along the InternetCoast in Boca Raton, began accepting companies last summer. This month, Cenetec opens its technology accelerator in Gainesville, in association with the University of Florida. Cenetec's accelerator model includes these ingredients:

-- Targeted, selective approach - Focusing on high-growth sectors such as
wireless and technology infrastructure, Cenetec screens hundreds of applicants,
selects a handful of potential clients and completes extensive due-diligence.
"Angel investors and VC partners value the homework Cenetec does to evaluate
and grow the best candidates," CEO William D. Hager says. He noted Cenetec's
regular angel investor forums and VC relationships are an important resource
for accelerator companies.

-- Flexibility for various developmental stages -- From startups to established
enterprises. "What is essential is that our clients have an emerging technology
with exceptional potential and the drive to exploit every opportunity in the
marketplace," adds Hager.

-- Totality of services - On the incubator services continuum, Cenetec is
proving entrepreneurs benefit from a more comprehensive approach. In return for
equity, client companies receive everything from hands-on strategic guidance by
expert advisors, infrastructure, office space, and enterprise-grade tools, to
support in areas including marketing, legal and funding.

-- Disciplined, hands-on program -- Acceleration teams work directly with
entrepreneurs to dramatically transform their companies. The program aims to
perfect over 700 aspects needed for growth and funding.

Cenetec is headquartered at 4950 Communication Avenue, Suite 900, Boca Raton, Florida 33431, 561/981-0200. More information is available at www.cenetec.com.