ExteNet Systems, Inc. Closes $27.5 Million in Equity and Debt Financing

- Palomar Ventures Joins as New Investor, Four Existing VC Investors Expand
Participation -

LISLE, Ill., May 21 /PRNewswire/ -- ExteNet Systems, Inc., a leading
network infrastructure company, today announced it has secured an additional
$27.5 million of equity and debt financing. The new capital will be used to
build distributed antenna system (DAS) networks to meet the explosive demand
for wireless voice, data and video services.
Palomar Ventures joined this equity round along with existing investors
Centennial Ventures, Sevin Rosen Funds, Columbia Capital and CenterPoint
Ventures. Dallas-based Comerica Bank is providing the revolving credit
facility, which represents an additional financial milestone for the company.
Commenting on why Palomar Ventures chose to invest in ExteNet Systems,
partner Kevin Jacques said: "Although Palomar typically invests in
earlier-stage companies, we saw this as an excellent opportunity to invest in
a more mature business that we believe has tremendous growth potential.
Because I had previously been on the board, we felt that we knew the company
and market well. Management has done a fantastic job building networks and
forming carrier relationships. We're excited about the additional market
potential that new wireless services such as WiMAX and the newly released
700 MHz spectrum have created for ExteNet Systems."
The funds will be used to support the acceleration of the company's growth
as it builds out a substantial number of new networks across the country.
ExteNet Systems has signed contracts with nearly every major carrier and
currently has networks operating or under construction in: California,
Florida, Illinois, Massachusetts, Michigan, Nevada, New York, Ohio, Texas and
Rhode Island.
"This round of funding is a testament to the confidence our investors have
in our team as well as the market opportunities that are developing in this
industry," said Ross Manire, ExteNet Systems president and chief executive
officer. "The wireless industry is embracing DAS networks as an integral part
of network deployment because DAS is a smart way to improve network coverage
and increase capacity. As a leading DAS provider that has been designing and
building DAS networks since 2003, we are now well funded to gain additional
market share."
The company's lender, Comerica Bank commented: "Comerica's Technology &
Life Sciences Division has extensive experience in providing innovative debt
financing to growth companies with proven technology and strong management
teams," said William Bell, Comerica vice president. "We are extremely pleased
to be able to work with ExteNet Systems, and we look forward to expanding our
relationship as the company grows and its debt financing requirements expand."
In conjunction with the equity financing, Palomar's Kevin Jacques is
rejoining ExteNet Systems' board of directors.
About ExteNet Systems, Inc.
Founded in 2002 by veteran network infrastructure professionals from the
corporate, carrier, engineering and regulatory sectors, ExteNet Systems, Inc.
develops innovative distributed antenna system (DAS) networks for wireless
service providers. The company designs, builds and operates DAS networks to
extend and expand wireless performance in outdoor locations where conventional
macro cell tower development is challenging. The company's In-Building
networks provide an economical solution to coverage problems in a wide range
of indoor environments, including offices and residential/mixed use buildings.
ExteNet Systems uses flexible DAS architectures that support all frequency
bands and technologies. Executive offices are located in suburban Chicago's
tech corridor. For more information visit http://www.extenetsystems.com or
email DAS@extenetsystems.com.
SOURCE ExteNet Systems, Inc.

Laura Altschul of ExteNet Systems, Inc., +1-630-505-3800,
laltschul@extenetsystems.com