Convio, Internet Technology Provider for Nonprofits, Secures $12 Million in Series B Financing; Granite Ventures and Adobe Ventures Lead Investment; Austin Ventures, Others Reinvest.

Business Editors & High-Tech Writers

AUSTIN, Texas--(BUSINESS WIRE)--March 29, 2001

Convio Inc., an Internet software company providing relationship management solutions to the nonprofit sector, announced today that it has secured $12 million in its second round of funding.

Granite Ventures LLC led the round through its Granite Ventures and Adobe Ventures funds. Also participating in the financing were previous investors Austin Ventures and Silverton Partners, as well as new investor Neil Webber, co-founder and former CTO of Vignette Corporation (Nasdaq:VIGN). Austin Ventures and Silverton participated in Convio's first round of funding.

Convio, founded in April 1999, conducted over 1000 interviews with nonprofit executives ranging from the CIO of the Red Cross to executive directors at regional nonprofits, before spending the last 12 months developing a comprehensive platform to address the unique relationship management, fundraising, communication, and advocacy requirements of the nonprofit sector. The Convio Relationship Management System(tm) is the first integrated Web-based Customer Relationship Management (CRM) solution serving the $1.3 trillion nonprofit sector.

"The size of the investment and quality of investors is a testament to Convio's position as the premier technology provider for nonprofit organizations," said Founder and CEO, Vinay Bhagat. "To raise funds from top-tier investors in this market, companies must undergo a comprehensive due diligence process. Investors are looking for businesses that address large markets, have strong technology that solves real customer pains, and have an established market leadership position and significant customer traction."

Convio provides a seamless and integrated way for nonprofits to interact with constituents. The Convio Relationship Management System provides sophisticated technologies that can be managed in-house with no previous technical or html experience. Current clients include the Planned Parenthood Federation of America -- the 12th largest nonprofit in the U.S. PPFA has raised over $500,000 online in the past four months using the Convio technology.

"Granite Ventures looks for companies with the potential to transform markets," said Chris Hollenbeck, Managing Director of Granite Ventures. "Convio is the leading company in its segment with an acute understanding of the needs of nonprofits and other membership-based organizations. Convio enables its customers to excel in an increasingly digital world, much the way Siebel and Vignette have done in the for-profit CRM world."

Convio also announced that Chris Hollenbeck has joined Convio's board of directors along with current members, CEO Vinay Bhagat and Ross Cockrell, general partner of Austin Ventures. Chris was a founder of Granite Ventures and previously worked in the Corporate Finance and Merger & Acquisition groups at Hambrect & Quist. Chris currently serves on the boards of AvantGo (Nasdaq:AVGO), Covia Technologies, ESPS (Nasdaq:ESPS), HAHT Commerce, and NetClerk and sponsored Granite's investments in Digimarc (Nasdaq:DMRC) and Vignette (Nasdaq:VIGN). Chris holds a B.A. in American Studies from Stanford University.

About Granite Ventures

Granite Ventures LLC, formerly H&Q Venture Associates LLC, is a leading early-stage technology venture capital firm with approximately $625 million in capital under management. Granite Ventures was formed in July 1998 as an independent venture capital firm spun out of Hambrecht & Quist, now J.P. Morgan H&Q. Granite Ventures manages general venture capital funds and corporate funds in partnerships with technology industry leaders Adobe Systems Incorporated and Texas Instruments Incorporated. Granite Ventures has invested in more than 60 companies, including such software industry leaders as Siebel Systems and Vignette Corporation. More information can be found at www.graniteventures.com.

About Austin Ventures

With more than $3.1 billion of capital under management, Austin Ventures has grown to be the dominant venture capital firm in Texas and one of the largest in the United States. With an active portfolio of more than 70 companies, Austin Ventures has been part of such corporate success stories as: Vignette, Tivoli, Crossroads Systems, IntelliQuest, Dazel, Mission Critical, MetaSolv, Crystal Semiconductor and VTEL among others. More information can be found at www.austinventures.com.

About Convio

Convio is an Internet software company that provides online relationship management and fundraising solutions to the nonprofit sector. Convio conducted over 1000 interviews with nonprofit executives ranging from the CIO of the Red Cross to executive directors at regional nonprofits to develop a comprehensive platform to address the unique relationship management, fundraising, communication, and advocacy requirements of the nonprofit sector. Convio clients span the spectrum of nonprofit organizations including, but not limited to, advocacy based organizations, educational institutions, health and human services organizations, hospitals, museums, visitation groups, performing arts organizations, professional/trade associations, and public television and radio stations.

For more information or to schedule an interview with Mr. Bhagat and/or Mr. Hollenbeck contact Convio's Corporate Communications Manager Deepa Donde at 512/652-2608. Also visit www.convio.com for additional company information.