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Digital River Raises $13 Million in Private Placement and Venture Capital
(PR Newswire; 04/27/98)
MINNEAPOLIS, April 27 /PRNewswire/ Digital River, Inc., the leading
provider of e-commerce and data center management for companies selling
software on the Internet, announced today that it has received net proceeds of
$13 million from its recently completed private placement of common stock in
combination with venture capital financing.
The company said net proceeds from the offering, which began last November,
totaled $10 million. It received an additional $3 million in venture capital
from Wasserstein Adelson Ventures L.P., New York, a venture capital fund
managed by the investment banking firm Wasserstein Perella & Co.
Joel Ronning, president and chief executive officer of Digital River, said
planned uses for the proceeds include an expanded marketing program targeting
additional software vendors and online dealers relationships. The company also
plans additional equipment purchases to build further system redundancy and
performance capacity.
"Digital River has quadrupled its client base in the past year from less
than 300 to more than 1,200 software publishers and online dealers," Ronning
said. "We anticipate continued growth in the months ahead both in numbers of
clients and in the volume of Internet software sales they are generating."
Digital River, Inc., based in Minneapolis, offers the world's largest
online database of software products. It partners with software publishers and
on line dealers to implement its proprietary technology for Internet delivery
of software and other digital products. The company has 12 patents pending,
covering digital delivery, commerce and encryption systems. Tech Squared, Inc.
(OTC Bulletin Board: TSQD), controls 23 percent and Fujitsu Limited of Japan
owns 16 percent of Digital River's common stock. For more information visit
the Digital River Web site at digitalriver.com
SOURCE Digital River, Inc. -0- 4/27/98
/CONTACT: Tom Langenfeld of Swenson NHB Investor Relations, 612-371-0000,
for Digital River, Inc., Joel Ronning or Greg Smith of Digital River, Inc.,
612-830-9042, or Jeff Abramovitz of Tech Squared, Inc., 612-832-5622/
/Web site: digitalriver.com (TSQD)
CO: Tech Squared, Inc.; Digital River, Inc.ST: MinnesotaIN: CPRSSU:
{PRNewswire:Computers-0427.892} 04/27/98
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