Mimix Broadband Raises $7.5 Million in Institutional Funding Led by First Capital Group and 3i

Initial Closing of First Round of Funding Provides the Foundation to Aggressively Design and Develop State-of-the-Art GaAs MMIC Products for the Millimeter-wave Market

December 11, 2001, Houston, Texas ­ Mimix Broadband announced today that it has secured $7.5 million in its first round. Mimix is a fabless semiconductor company that provides high performance Gallium Arsenide (GaAs) monolithic microwave integrated circuits (MMICs) for the millimeter-wave market. The funding was led by First Capital Group of San Antonio, Texas, and 3i, a leading international venture capital company. W.S. Farish & Co., as well as several existing shareholders, also participated in this round.

"To gain investor commitment with today's market conditions, it is critical for a company to establish a solid business plan, strong management team, pioneering technology and valuable strategic partners. Mimix has assembled these strategic elements to become the preeminent supplier of GaAs MMICs," said Dr. Charles Lee, Chairman of the Board, Mimix Broadband.

"This first round of institutional funding led by First Capital Group and 3i enables us to aggressively pursue the design and development of state-of-the-art GaAs MMICs for the millimeter-wave market," stated Rick Montgomery, President of Mimix Broadband. "Our strategy is to combine our expertise in overall radio system design to supply products that meet the market’s requirements. We have assembled a world-class team that has been focused on the development of MMICs for the last decade. We believe we can achieve our goal to provide industry-leading, highly linear, multifunction MMIC devices designed for superior performance."

The millimeter-wave communications markets have high potential for growth, since emerging commercial applications such as high capacity, high frequency point-to-point and point-to-multipoint digital radio used in 3G infrastructure, broadband wireless access and satellite communications are starting to become applicable at these high frequencies. Mimix Broadband is ideally positioned to capitalize on the significant market opportunity for millimeter-wave GaAs MMICs.

"Mimix Broadband is well prepared to realize its value proposition to provide high performance GaAs MMICs, while exceeding customer expectations for value and innovation," stated Jeff Blanchard of First Capital Group. "I have worked with many members of the management team previously and have experienced first-hand their capabilities and dedication to successfully execute a business plan."

"Mimix is pioneering the development of next generation wireless semiconductors," stated Marko Maschek of 3i. "Our investment in Mimix supports our strong belief in the company’s product and management team. There is great growth potential for the company and we look forward to working with the management team and leveraging our experience and international network to build a world-class company."

About Mimix Broadband
Mimix Broadband designs, develops and markets high performance Gallium Arsenide (GaAs) monolithic microwave integrated circuits (MMICs) for applications operating at 17 to 44+ GHz. Mimix has assembled a team of world-class scientists that has been focused on the development of state-of-the-art millimeter-wave MMICs for the last decade. The Company also leverages strategic partnerships for manufacturing in order to expedite the time-to-market cycle and meet market requirements. Backed by experienced, highly successful stakeholders, Mimix Broadband combines its expertise in overall radio system design to provide comprehensive insight in the technology and issues that its customers confront in designing their products.

About First Capital Group
First Capital Group is a private investment firm that concentrates on companies engaged in a variety of industries throughout Texas and the Southwest. Since its inception in 1984, the principals of First Capital Group have established an outstanding record and reputation for assisting management of its portfolio companies in such areas as planning, capital formation, capital budgeting, merger and acquisition evaluation, and planning and executing exit strategies. First Capital Group's investment objective is to realize a superior return on investments in a diversified portfolio of well-managed companies having the potential to achieve exceptional growth in earnings and value.

About 3i
3i is a leading international venture capital company with U.S. offices in Palo Alto, CA and Waltham, MA. Operating since 1945, 3i has invested worldwide over $20 billion, including co-investment funds, through its 16-country, 3-continent network of 36 offices. 3i leverages this worldwide presence to add value to its portfolio companies and investment partners. Outside the USA, 3i invests broadly in private equity and venture capital. In the United States, 3i concentrates on technology investments in companies with the potential to be leaders in their markets. Visit 3i and its portfolio at http://www.3ius.com.