Press release, November 1, 2001

Silex Microsystems AB, a Swedish MEMS company, raised EUR 2,7 million from venture capitalists Startupfactory and Swedestart to finance further product development necessary for a successful transition to the international market. At the same time Lennart Ramberg, founder and ex-CEO of Altitun, joins Silex board.

Silex Microsystems develops, produces and sells MEMS (Micro Electro Mechanical Systems) components and systems. MEMS brings with it such advantages as lower production costs, higher reliability and the possibility of building in extremely small dimensions. Application areas are primarily found within telecommunications/ fiber technology, medical engineering and bio- technology. Silex Microsystems recently launched its first standardized product, a silicon micro-optical switch for use within the telecom industry. The product has unique characteristics, such as an extremely good precision structure on micrometer level and reduces production costs in installation of optic components.

The founders and employees – 13 persons – of Silex have a strong academic experience as half of the group hold PhD’s in MEMS. The company was founded in October 2000 as a spin-out from the industrial research institute Acreo AB and the turnover for the current year is EUR 1.9 million.

“Silex Microsystems is an extremely exciting company with world leading competence within MEMS. Their ability to understand the clients’ needs combined with fast profitable growth convinced us that Silex has great prospectives to establish itself as an international supplier of standardized MEMS components”, comments Staffan Helgesson, Managing Partner at Startupfactory.

“When we chose investors the economic financing was only one aspect for Silex, which already is a profitable company. We look forward to close cooperation with Startupfactory and Swedestart as they will be able to offer us substantial industrial strategic competence and a superior international network”, says Edvard Kälvesten, Managing Director of Silex Microsystems.

“We find the MEMS field very exciting and having great potential. Silex will be the first MEMS company in Sweden to cover the whole chain from development to production. Silex has an unique position on the market and strong competence which is proven by their profitable growth”, says Lars Hagdahl, Senior Partner at Swedestart.

“Silex is a very interesting company and I’m looking forward to sharing my experiences from Altitun and ADC Telecom with the Silex team”, says Lennart Ramberg.

For more information:
Edvard Kälvesten, CEO, Silex Microsystems AB
Tel: +46-8-752 16 03, Mobile: +46-70-732 31 01
Staffan Helgesson, Managing Partner, Startupfactory AB
Tel: +46-8-545 532 00, Mobile: +46-70-377 65 82
Lars Hagdahl, Senior Partner, Swedestart AB.
Tel: +46-8-545 854 70, Mobile: +46-70-728 88 80

About Silex Microsystems AB
Silex delivers MEMS -based sensors, actuators, and precision structures which are integrated into the clients’ end products within a broad range of application areas such as telecom, medicine, and biotechnology. For additional information, visit www.silexmicrosystems.com.

About Startupfactory
Startupfactory is a leading venture capital company with operations in Sweden and Finland, working with entrepreneurs in the IT, datacom and telecom industries. The business idea is to support entrepreneurs with strategic business building advice, international contacts and network, recruiting and financing. Startupfactory was founded in August 1999. Shareholders of Startupfactory are, except for board and operational team members, Investor AB, Sweden’s largest investment company; Softbank Europe Ventures, a leading Internet investor; and Carnegie. For additional information, visit www.startupfactory.com.

About Swedestart
Swedestart Tech KB is a venture capital company focusing on long term minority investments in early stage companies in the ICT sector. Swedestart Tech KB is managed by Swedestart Management AB, one of Sweden’s leading early stage venture capital firms. Swedestart Management, with more than 1.5 billion SEK under management, is focusing on the ICT and Life Science sectors. For additional information, visit www.swedestart.se.