CollegeNET, Inc. (www.corp.collegenet.com), the leading transactions application service provider with over 500 higher education customers, announced closure of a $10 million mezzanine round. 3i, a leading international venture capital firm, was the sole investor.

According to CollegeNET CEO Jim Wolfston, "We are very pleased to have closed this round with a single, major, global investor. Because we are racing in Internet time, it was very important to keep our deal clean."

The funding will be used by CollegeNET to accelerate visibility for the Company and to allow the Company to extend distribution of its forms commerce services.

Commenting on the 500% growth in CollegeNET's Internet forms commerce business in 1999, Wolfston deadpanned: "We are just humble virtual plumbers in a large, overlooked sector running a cash business with a little float..."

As an outsourced solution, CollegeNET physically operates the computer servers that present web-based forms to end-users and processes any associated payments. Each form served is fully tailored and branded to the client institution enabling it to be seamlessly hyper-linked from and transparently incorporated within that client's homepage. The technology not only efficiently processes form-based inputs but also automatically routes messages based upon those inputs to any party designated by the client. This transparent, Internet-based routing helps customers unify and integrate their existing, often disparate computer systems and provides a cost-effective, low-risk alternative to systems overhaul or replacement.

About CollegeNET, Inc.:
With over 500 college and university customers, CollegeNET, Inc. is the leading transactions applications service provider serving the $250 billion higher education market. The Company is pioneering the use of the Internet to reduce paperwork, simplify workflow, and decrease costs throughout higher education. CollegeNET has developed and deployed a patent-pending web technology platform that enables the Company to supplant an unlimited variety of paper forms for its institutional customers, including admissions applications, financial aid documents, housing applications, alumni registration and contribution forms. The company is located in Portland, Oregon. http://www.corp.collegenet.com

About 3i:
3i is a leading international venture capital company with US offices in Palo Alto, Calif. and Waltham, MA. 3i leverages its world-wide presence to add value to its portfolio companies. 3i Group Plc is listed on the London Stock Exchange and is a FTSE 100 company. In the US, 3i concentrates on technology with an emphasis on business-to-business e-commerce and telecommunications. 3i investments in the U.S. include Yet2.Com, GlobalSight, and Colorado MicroDisplays. Worldwide, 3i has invested over $17 billion through a network of 34 offices; 30 in Europe, 2 in Asia, and 2 in the U.S. 3i invests in the U.S. as 3i Technology Partners. Visit 3i at http://www.3iUS.com