406 INDEX GETS ADDITIONAL CAPITAL
May 10, 2001
Index Stock Imagery, Inc. (www.indexstock.com), has closed the last $4.5 million of its
$20 million mezzanine funding round.
"We started a transition six months ago from extremely rapid growth and a high cash
burn to rapid growth combined with profitability," says Index CEO, Bahar Gidwani.
"With the continued support of the investors, we are on track for reaching
profitability by the end of the year."
Mr. Gidwani noted that since the December close, Index has added several new
distribution partners for its product lines, Photos To Go and WebSpice. Current
partners include Microsoft (Nasdaq: MSFT), Yahoo (Nasdaq: YHOO), Intuit (Nasdaq: INTU),
Corel (Nasdaq: CORL), and Amazon (Nasdaq: AMZN).
Sales have grown strongly in its Index Stock product lines and are ahead of plan for
the 2001 fiscal year. "Our customers in the advertising, design, and creative community
do not seem to have been affected by the recent slowdown in the economy," said Mr.
Several investors from previous funding rounds participated in this last piece of the
mezzanine, including Meridian Venture Partners, J. W. Seligman, SCP Venture Partners,
Tim Draper's Polaris Fund, and Harbour Capital. Index does not anticipate requiring
further equity funding in order to reach breakeven.