Liberty Venture Partners is a Philadelphia-based venture capital company that manages Liberty Ventures I, L.P. and our most recent fund, Liberty Ventures II, L.P. The investment focus of the funds includes health care, information technology, wireless infrastructure and Internet technologies and services. Liberty Venture Partners provides financing to growth-stage and expansion stage enterprises on a national basis, with a concentration on the Mid-Atlantic region.

We often find it useful to introduce our portfolio members to each other. Liberty Venture Partners’ investments are outlined below.

Animas Corporation had its initial public offering in May 2004.  Johnson and Johnson acquired the company in February, 2006.  Animas Corporation is a manufacturer and distributor of insulin infusion pumps. The Animas pump is exceptionally easy to use while setting new standards in safety, performance and reliability. In addition to creating a superior pump, the company has set out to revolutionize the way patients are educated. Every Animas pump user is offered extensive personalized training at the local level through a network of distinguished health care professionals.

ANI Pharmaceuticals is a manufacturer of over-the-counter and RX liquid and powder pharmaceutical products and has performed contract manufacturing for some of the largest and most respected pharmaceutical companies in the world. ANI Pharmaceuticals is shifting from a contract manufacturer into a specialty pharmaceutical company, expanding the product line in prescription products and additional dosage forms.

Coalescent Surgical was sold to Medtronics in September 2004. Coalescent Surgical was a pioneer in developing advanced technology for blood vessel anastomoses. Founded in 1997, the company's first product, the U-CLIP™ is used in a variety of minimally invasive and conventional surgical procedures. The U-CLIP™ enabled surgeons to utilize their skill, experience and judgement to create a high quality anastomosis while using their current instrumentation and technique.

InfoHighway Communications merged with Broadview Networks Holdings on May 31, 2007.

Broadview is a leading facilities-based competitive communications provider offering voice and data communications and managed network solutions to small and medium sized business customers in 20 markets throughout the northeast and mid-Atlantic United States, including major metropolitan cities such as New York, Philadelphia, Baltimore, Washington, D.C. and Boston. To meet the demands of communications-intensive business customers, they offer dedicated and switched local and long distance voice, high-speed data and integrated services, as well as value-added products such as hardware and managed solutions.

ExpertPlan, Inc. is an online record-keeper for asset management firms and third-party administrators offering 401(k) and other retirement plans. The ExpertPlan technology allows these firms to offer their customers the lowest costs, the lowest error rates and unmatchable service standards. Because of these competitive advantages, ExpertPlan's clients can profitably target the small to mid-sized companies' 401(k) and retirement plans.

GCA Servces Group, Inc. is a provider of contract cleaning services and ancillary support services to educational institutions, including colleges, universities, and school districts, as well as selected specialty industrial clients that require special cleaning such as high tech and pharmaceutical clean rooms. Ancillary services include grounds care, security, and light maintenance.

L-1 Identity Solutions 

(NASDAQ:  ID)

L-1 Identity Solutions is a provider of solutions and services that protect and secure personal identities and assets.  L-1 Identity Solutions provides photo identification and document management systems. They offer solutions for reading and authenticating ID documents using biometrics and other sophisticated technologies.  L-1 Identity Solutions delivers advanced technology identity solutions for governments, law enforcement agencies and businesses concerned with enhancing security, reducing identity theft, and protecting personal privacy.

Kinkos.com was acquired by to Federal Express in February 2004. Kinkos.com is the world's leading provider of document solutions and business services. Its global network of more than 1,100 digitally connected locations offers 24-hour access to technology for color printing, finishing and presentation services, internet access, outsourcing, facilities management, web-based printing and document management solutions.

Lagos, Inc. is a Philadelphia-based designer, manufacturer and retailer of branded bridge and fine jewelry. The company’s classic luxury styling has allowed LAGOS to be considered among the top brands of women’s bridge jewelry. LAGOS products are sold through major department stores, including Neiman Marcus and Saks Fifth Avenue, Nordstrom and Bloomingdales; top independent jewelry stores in the U.S., Canada and the Caribbean; and through company-owned stores.

MEDecision, Inc.  is supplier of software to the medical community.  MEDecision creates programs that facilitate the transfer of high quality clinical and financial information among providers and payers of health care.  The software currently helps payers and providers to communicate and analyze financial and medical information necessary for utilization management (such as determining medical necessity and length of stay).  The software also helps payers manage the complexities of benefit plans, lines of business, and other programs that affect productivity.

MEDecision has over 60 clients with 43 million covered lives.  Clients include Pacificare Health Systems, Care First Blue Cross Blue Shield, Blue Cross Blue Shield of Illinois and Blue Care Network of Michigan.  MEDecision has developed an ASP strategy designed to expand its product offerings, as well as customer and revenue bases.

MEDecision continues to be the market leader for care management software.  During the fourth quarter, MEDecision went public with Cowen & Co. as lead underwriter.  The company’s updated financial information may be  viewed at www.sec.gov. 

Othera Pharmaceuticals, Inc. is a specialty pharmaceutical company focused on the commercialization of novel, patient-administered products in the $7 billion ophthalmic pharmaceutical market. Othera’s small molecule eye drops, currently in clinical and preclinical development, serve unmet medical needs or significantly improve upon existing therapies in high value markets. Othera’s lead candidate, OT-551, is a topical eye drop in Phase 2 clinical trials for the treatment of the advanced form of dry age-related macular degeneration (geographic atrophy or GA). GA is primarily a disease of the aging population that typically leads to vision-related disability and poor quality of life. Othera’s second product in ophthalmology, OT-730, a topical eye drop, is in preclinical development for use in glaucoma, an indication representing a $3 billion worldwide market today.  Unlike existing drugs in its class, OT-730 holds the promise of a novel compound with efficacy equal to or better than existing products, yet with superior safety. Combined, OT-551 and OT-730 represent a $2 billion or more market opportunity.

Requisite Technology, Inc. was acquired by Click Commerce in November 2005.  In September 2006 Click Commerce was acquired by Illionois Tool Company.  Requisite Technology, Inc. delivers enterprise catalog management tools and services to transform distributed, disparate plant and product data into unified catalogs. Requisite's solutions promote collaboration, reduce cost and increase visibility of data across the enterprise for improved decision making. Leading providers of business applications and platforms, including SAP and Oracle, make Requisite Technology part of their solutions.

Synchronoss Technologies Inc. had its initial public offering in June 2006 (NASDAQ:  SNCR).  Syncronoss Technologies Inc provides telecom business process outsourcing for collaborative service fulfillment and cost management to Tier One carriers and Fortune 500 companies. This new level of collaboration between the carrier and the enterprise helps both sides lower costs, drive revenue and improve service. Synchronoss serves Tier One carriers such as AT&T Wireless, AT&T Services and MCI and approximately 50 of their most critical enterprise subscribers. The company's flagship product, ActivationNow, is composed of proprietary business workflow process wrapped around industrial strength software and delivers order and inventory management, revenue management, billing reconciliation and Web-based customer care.

Tickets.com was sold to Major League Baseball in April 2005. Tickets.com is a leading business-to-business ticketing solutions provider for live events. The company facilitates the sale of tickets by enabling venues and entertainment organizations with proprietary and cutting edge software, retail outlets, call centers and interactive voice response (IVR) systems. Tickets.com builds private label Ticketing Gateways to enable live entertainment organizations with e-commerce distribution platforms. The company also sells tickets directly to consumers at www.tickets.com, providing tickets and information on virtually all events and entertainment organizations, as well as offering related products and services. Tickets.com's automated ticketing solutions are used by thousands of entertaiment organizations such as leading performing arts centers, professional sports organizations and various stadiums and arenas in the U.S, Canada, Europe, Australia and Latin America.

XOsoft  was acquired by Computer Associates in June 2006.  XO Soft has created a technology that offers a comprehensive solution that enables integrated replication of files, system settings and databases. This technology breakthrough allows full server replication. Implementation of XOsoft’s WANSync portfolio generates the most efficient disaster recovery solution, with rollback and recovery capabilities. For companies concerned with data availability and protection, the WANSync portfolio provides a huge, cost effective competitive advantage.