Initiate Systems Fortifies Board with Three New Directors

CHICAGO--(BUSINESS WIRE)--Initiate Systems, Inc., a leader in master data management (MDM) solutions, announced today that Niloofar Howe, a managing director of Paladin Capital Group, Mike Daniels, a member of the board of directors of Sybase, Inc., and R. Stephen Cheheyl, a former computer, software and data communications executive, have been appointed to the company’s Board of Directors. The three additions diversify and deepen the board’s experience in the areas of strategic investment and high-tech business management.

“With the addition of these three talented and experienced people to our board, we feel confident that, with great customers and partners, consistent growth, persistent technology leadership, diverse market penetration, and a strong balance sheet, Initiate Systems is well positioned to remain a vibrant company well into the future”

Howe joined the Initiate Systems board of directors early this year when Paladin invested in Initiate. Howe’s current responsibilities at Paladin include developing and implementing new investment opportunities for each of Paladin's funds, including the firm's most recent fund, Paladin III. Prior to joining Paladin, Howe served as Principal at Zone Ventures a Los Angeles-based venture capital firm. She also worked with McKinsey & Company as a strategic consultant and as an attorney with O'Melveny & Myers. She graduated Cum Laude from Harvard Law School and received a Bachelor’s Degree from Columbia College.

Daniels has more than 30 years of business management experience in the high-tech industry. In addition to serving on the Initiate board, Daniels currently serves on the board of Sybase and has since 2007, after Sybase acquired Mobile 365, where he was chairman of the board and CEO from 2005 to 2006. Between 1986 and 2004, Daniels served as a senior executive at Science Applications International Corp. (SAIC), a $10-Billion NYSE company, where he led a number of successful acquisitions, including Network Solutions, Inc., where he served as chairman from 1995-2000 and also as CEO in 1999. Daniels led Network Solutions’ merger with VeriSign, Inc., in 2000 and served on VeriSign’s board of directors from 2000 to 2001. He also has served as chairman of the Northern Virginia Technology Council and currently serves as the chairman of the Virginia Chamber of Commerce. In addition, he has served as an advisor to the White House National Security Council, as U.S. national commissioner to UNESCO and as a member of the U.S. Trade Representative's International Investment Policy Advisory Committee.

Cheheyl is a private investor and consultant specializing in information technology, mergers and acquisitions, financing and corporate strategy. His career includes more than 25 years of involvement with companies ranging in size from start-ups to multi-national corporations. He retired in 1995 as executive vice president of business operations at Bay Networks, a $2-billion data networking company. Cheheyl served as senior vice president of Finance and Administration at Wellfleet Communications. While he was there, the company grew from $10 million in revenue to more than $500 million in four years. He was the financial officer responsible for three separate initial public offerings, including Applicon, Alliant and Wellfleet, follow-on offerings, numerous private financings and a series of mergers and acquisitions. He serves on the board of several privately and publicly held technology companies and is a member of Dartmouth's Computing Advisory Group, which advises the College on strategic information technology issues. He earned an undergraduate degree from Dartmouth College and an M.B.A. from Northwestern University.

“With the addition of these three talented and experienced people to our board, we feel confident that, with great customers and partners, consistent growth, persistent technology leadership, diverse market penetration, and a strong balance sheet, Initiate Systems is well positioned to remain a vibrant company well into the future,” said Bill Conroy, Initiate’s president and CEO.

Fortifying its board is the latest sign of Initiate’s competitive strength and financial stability. Earlier this year, the company completed $31 million in new financing. Paladin Capital Group played a lead role in recent financing, which included participation from new investors Dunrath Capital, EMC Corporation (NYSE:EMC), Informatica Corporation (NASDAQ:INFA) and BlueCross BlueShield Venture Partners, L.P., as well as existing investors, Sigma Partners, Apex Venture Partners and First Analysis Group.

About Initiate Systems

Initiate Systems, Inc., enables organizations to strategically leverage and share critical data assets. Its master data management (MDM) software and experience as an information exchange leader provide organizations with complete, accurate and real-time views of data spread across multiple systems or databases, even outside the firewall. This allows companies to unlock the value of their data assets for competitive advantages or operational improvements. Initiate Systems operates globally through its subsidiaries, with corporate headquarters in Chicago and offices across the U.S., and Toronto, London and Sydney. For more information, visit www.InitiateSystems.com.