HEALTH CARE VENTURE CAPITAL INVESTMENTS TOP $5.5 BILLION IN 2003 ACCORDING TO THE JENKS HEALTHCARE BUSINESS REPORT

NEW CANAAN, CT – February 4, 2004 – During the fourth quarter ended December 31, 2003, health care venture capital dollar volume rose 26% over the third quarter bringing the total year volume to over $5.5 billion in 386 deals, according to Jenks Healthcare Business Report, which tracks private and public equity deals in health care.

Dollar Volume
A large increase in dollar volume occurred in the fourth quarter of 2003 which recorded nearly $1.8 billion in investments. The dollar volume in 2003 in each of the quarters was as follows: $1.2 billion in the first quarter, $1.1 billion in the second quarter, $1.4 billion in the third quarter and $1.8 billion in the fourth quarter:

“Two large investments, Reliant Pharmaceuticals led by Invemed Catalyst Fund and United Biosource Corp. with three participating investors - Whitney & Co., Oak Investment and Grotech Capital Group - dominated the fourth quarter venture capital market in the health care sector. Although these large $100 million plus deals bolstered the dollar volume in the fourth quarter, the deal flow was down significantly and fell from 107 deals in the third quarter to 81 in the fourth quarter,” said Stephen M. Monroe, managing editor of Jenks Healthcare Business Report. “Despite this drop in deal count, health care, which includes biopharmaceuticals, medical devices and other health care services, is commanding an increasingly larger percentage of the venture capital market.”

Number of Deals
For 2003, there were 386 venture capital investments in the health care sector. The lowest quarter was the fourth quarter. In 2003, the deal volume was as follows: 90 in the first quarter, 108 in the second quarter, 107 in the third quarter, and 81 in the fourth quarter.

Venture Capital Rankings
In the fourth quarter, MPM Capital led in number of deals and dollar volume when full credit is given to each participating investor. The $153 million United BioSource Corp. investment bolstered the rankings of participating investors in that deal when full credit was given to each participating investor.

Top Health Care Venture Capital Investors, Q4:03 (Full credit to all investors)
Ranking by Dollar Volume	Venture Capital Firm	Number of Deals	Dollar Volume (in millions)
1	MPM Capital	8	$279.60
2	Grotech Capital Group	1	$153.00
2	Oak Investment Partners	1	$153.00
2	Whitney & Co.	1	$153.00
3	Invermed Catalyst Fund	1	$137.00
3	Barron Growth Fund	1	$137.00
3	Goldman, Sachs & Co.	1	$137.00
4	Oxford Bioscience Partners	1	$129.50
5	Schroder Ventures	1	$111.80
6	Metronics	1	$103.50
7	Thoma Cressey Equity Partners	2	$102.20
8	Sofinnova Partners	4	$88.40
9	HealthCare Ventures	2	$86.80
10	Hambrecht & Quist Capital Management	3	$84.80

About Jenks Healthcare Business Report:
Jenks Healthcare Business and its companion annual report, The Health Care Venture Capital Report, are published by Irving Levin Associates, Inc., a leading health care financial publisher established in 1948. The Firm has headquarters in New Canaan, CT and is online at www.levinassociates.com. This privately held corporation publishes research reports and newsletters, and maintains merger and acquisition databases on the health care and senior housing markets. For more information on Jenks Healthcare Business Report, call 1-800-248-1668.

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