New York, NY, Jan 12, 2006—Milestone Venture Partners, a premier New York earlystage venture capital firm, today announced that Fiserv, Inc. had completed the acquisition of its investee, CareGain, Inc. of West Windsor, N.J. Terms of the transaction were not disclosed by the parties.

CareGain’s DefinedCare® Platform enables health plans and insurers to efficiently design and administer highly flexible consumer-directed health plans featuring healthcare savings accounts (HSAs), healthcare reimbursement accounts (HRAs) and flexible spending accounts (FSAs), while providing a positive experience to plan members.

Richard Dumler, a Milestone partner and CareGain board member said, “We were pleased to join with other investors in providing the capital that enabled CareGain to demonstrate that its solution for administering consumer-directed health was the best in class, in addition to providing a very good return for our investors.”

Jeff Yabuki, president and chief executive officer of Fiserv, said, “CareGain’s highly customizable consumer-directed health care products are an important addition to the core banking, healthcare transaction processing and payment solutions we offer our clients.” Fiserv reported $3.4 billion in processing and services revenues in 2004, primarily from technology services to the U.S. financial services and health insurance industries.

David Lenihan, chief executive of CareGain, was enthusiastic about CareGain’s outlook. “Combined with the financial services experience and resources of Fiserv, CareGain will remain at the leading edge of consumer-directed healthcare by bringing enhanced features to the market place,” he stated.

Milestone Venture Partners invests in early-stage information-technology companies in the New York metro region, specializing in financial services and healthcare IT. Other healthcare IT investments, in addition to CareGain, include Medidata, Gene IT and Octagon, as well as investments in Decidia, Ecosystems, Expert Plan, Knovel and Navtrak.

Prior investments by Milestone general partners include Advo, Apple, Idexx, Kronos, Solectron, Staples, Telematics and Veeco Instruments.

For more information, call (212) 223-7400, visit www.milestonevp.com or write to Milestone Venture Partners, 551 Madison Avenue, 7 th Floor, New York, NY 10022.

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