05/13/2005
European pioneer in the development of technology for integration of business information from multiple sources

Denodo Technologies signs financing agreement with Spanish National Company for Innovation (ENISA)

·  Driving the international expansion of Denodo, starting this summer with a new office on the
   west coast of the US

·  Denodo technology is the result of a major effort in R&D, accounting for 30% of the company's
   revenue and staff

Madrid, June 13, 2005. Denodo Technologies, a company specializing in real-time integration of information, is receiving the support of the Spanish National Company for Innovation (Empresa Nacional de Innovación, S. A. - ENISA) through the financing of a participatory loan to carry forth the international expansion Denodo plans to undertake this summer with the opening of an office on the west coast of the United States.

According to the Denodo Chief Executive Officer, Ángel Viña, "this contract is really meaningful for us because it is another sign of confidence in the huge potential of our company and in the technology we have developed. This type of initiatives is of great importance to boost R&D activities in Spain, providing a solid basis for increasing the country's productivity."

For his part, the Chief Executive Officer of ENISA, Antonio Cano, said: "Denodo is a clear example of an innovative firm. Its technology, as a pioneer in all Europe, is the result of a substantial effort in R&D, which accounts for 30% of the company's revenue and staff. Moreover, Denodo's management has created an ambitious business plan that deserves the interest and thus the support of ENISA."

Cutting-edge technology
Denodo Technologies is a Europe-wide leader in the development of EII (Enterprise Information Integration) solutions for real-time search and integration of business information from multiple sources internal and external to the company. Plus, its technology is the only one in the world that enables integration of information from dynamic Web sources.

In spite of working in an emerging market like EII, Denodo already has a broad range of solutions, and it is the only company with implementations of this technology. Its customers include Telefonica de España, Red Eléctrica Española, Agencia EFE, Comunitel, Grupo Gallego del Cable, BBVA, Banco Popular, CECA, Xunta de Galicia and ISDEFE in the Spanish Ministry of Defense.

EII is a market with a great future, according to the consulting firm Aberdeen, which estimates that in 2005 it will generate a business volume of $250 million in the entire world.

International expansion
Denodo will use the financing obtained from ENISA for the international expansion of the company, which will begin this summer with the opening of an office on the west coast of the United States. According to Viña, "the purpose of opening this office is two-fold: first, it will help us channel international business and second, it will support our dealings with major consulting firms and software developers so they can integrate our software into their products."

Innovative financing formula
At present, ENISA - a state company under the Spanish Ministry of Industry, Tourism and Commerce, through the Directorate General of Policy on SMEs - offers small and medium-sized enterprises an innovative financial instrument that provides financial assistance to firms in all industries, such as mature industries, especially in start-up and development of SMEs, helping reinforce their financial structure.

The main advantages of these participatory loans over traditional types are the absence of a demand for real guarantees and their favorable interest rates. Their special features have been favorably ranked among financial support targeted to companies, according a study by the Chambers of Commerce.