Prodesse, Inc. Receives $1.5 Million in Seed Funding

Angel Funding Validates Vision and Builds Team, Enabling Doctors and Hospitals to use Prodesse's Molecular Diagnostic Products for Improving Patient Care.

WAUKESHA, WI (May 10, 2002) - Prodesse, Inc., the leading provider of multiplexed molecular diagnostics tests today announced $1.5 million of first round angel funding led by Shamrock Partners. The investor group consists of nine prominent individuals from across the United States, six of whom are from Wisconsin. Also represented are investors from California, Nebraska and Tennessee. Prodesse has developed several medical diagnostic products with unique capabilities and has several more products in its pipeline. Its gene-based technology was developed at the Medical College of Wisconsin. Prodesse is a TechStar portfolio company.

"Prodesse has already developed the best diagnostic test worldwide for the rapid and accurate detection of respiratory viruses. This funding will enable us to ramp up our product development efforts and our sales and marketing initiatives while building the infrastructure required for a world-class biotech company", said Tom Shannon, newly appointed President and CEO of Prodesse. "We are well positioned to continue expansion and build on our track record of quality and efficiency in providing multiplexed molecular gene-based diagnostic tests and improved patient care."

Prodesse will use the proceeds of this funding to hire additional research scientists, a sales and marketing executive, a business development professional and additional laboratory personnel. It will also construct additional lab space and offices at its Waukesha location. Prodesse's products are based on intellectual property that they have exclusively licensed from the Medical College of Wisconsin. Their first product, the Hexaplex™, provides a much more accurate diagnosis of respiratory viruses than any other product currently on the market. With the results of this test, seriously ill patients can received improved patient care at a lower overall cost. Improved patient care can result from better identification of appropriate drug therapies, reduced length of hospital stays and a reduction in diagnostic procedures.

Kelly Henrickson, MD, founded Prodesse in 1993 from his research efforts and developed the patented diagnostic procedures in a laboratory at the Medical College of Wisconsin. "The team at Prodesse is delighted with the interest shown in our technology by Tom and the other investors. We are all excited to have Tom Shannon leading the efforts to take Prodesse to the next level," commented Dr. Henrickson, Founder and Chief Scientific Officer of Prodesse. "Prodesse is the result of my many years for research in infectious diseases and diagnostic testing. It is very exciting to see my efforts develop to their full potential." The Company now employs 10 full-time people and operates out of a CLIA-certified laboratory at its Waukesha, WI headquarters. Prodesse designs, develops and manufactures gene-based pathogen detection kits.

About Prodesse
Prodesse (www.prodesseinc.com) is a molecular biotechnology company dedicated to developing and marketing a platform of tests for the diagnosis and treatment of infectious diseases, using a patented gene-based molecular diagnostics technique. Prodesse is known for its Hexaplex assay, a quick and accurate diagnostic procedure that simultaneously tests for the seven most common respiratory viruses in a single patient sample. Prodesse distributes product diagnostic kits for testing out of other laboratories throughout the US and the world. The company also operates a laboratory for point-of-care testing services in the Midwest area. For more information about Prodesse and its products, call 262.446.0700.