HyperBranch

Press Release

FOR IMMEDIATE RELEASE: January 25, 2005

HyperBranch Closes $6 Million Series A Investment

- The Aurora Funds and H.I.G. Ventures finance promising medical device company.

RESEARCH TRIANGLE PARK, NC (January 25, 2005) – HyperBranch Medical Technology, Inc., a medical device company creating products for the ocular surgery market, today announced it raised $6 million in its first round of venture capital investment. The round was led by The Aurora Funds (Durham, NC) with additional participation from H.I.G. Ventures (Miami, FL).

Proceeds from the investment will be used to accelerate the preclinical and clinical development of the company’s two lead products, DendriLens and OcuSeal. DendriLens is an injectable, accommodating synthetic lens for use in cataract surgery, and it is the only truly biomimetic lens of its kind. HyperBranch’s dendrimer polymers simultaneously enable the achievement of the appropriate clarity, refractive index and flexibility to mimic the natural lens. OcuSeal is a pliable "glue" under development as a wound sealant targeting the ophthalmic suture market and unsecured ophthalmic wound closures.

"This funding effort speaks to the strength of the company and our product pipeline," said Anthony Sherbondy, president and CEO of HyperBranch. "The characteristics of our polymers confer unique properties that are absolutely critical to the success of an accommodating lens. We can create a lens with the optical and mechanical properties of that of a 20-year old."

The Series A close was led by Triangle-based The Aurora Funds, with matching funds provided by Miami-based H.I.G. Ventures.

"HyperBranch is a company with a clear technical advantage," said Chris Kroeger, M.D., of The Aurora Funds. "But more importantly, HyperBranch has a management team that has already successfully developed and launched polymer-based medical devices."

"HyperBranch is an exciting young company that promises to be an innovator in the ophthalmic products market," said Craig Burson, managing director of H.I.G. Ventures. "Its unique technology and product development approach will address a vast unmet medical need in this area. We are truly looking forward to our involvement with this company."

As HyperBranch accelerates its product development efforts, the company will be expanding its research and development team.

About HyperBranch Medical Technology

Founded in early 2003 and based in Raleigh, North Carolina, HyperBranch Medical Technology, Inc. is a development stage company focused on restoring vision and preventing serious vision loss through the development of new medical devices for ocular surgery. By integrating polymer chemistry and biomedical engineering, the company has developed unique polymers that possess highly tunable properties. For more information, please visit www.HyperBranch.com

About The Aurora Funds

Founded in 1994, The Aurora Funds is a venture capital firm that provides capital and strategic help to entrepreneurs with early-stage life sciences and information technology companies in the Southeastern and mid-Atlantic United States. The firm has more than $155 million of total capital under management and is currently investing out of its fourth fund of $85 million. More information is available at www.aurorafunds.com

About H.I.G. Ventures

H.I.G. Ventures is an affiliate of H.I.G. Capital, a leading private equity and venture capital investment firm with more than $2 billion of equity capital under management. H.I.G. Ventures is one of the largest and most successful venture capital firms in the Southeast United States. H.I.G. Ventures is focused on investments in emerging high-growth companies across the information technology and life sciences industries, in early-stage and mid-stage companies that have significant potential for growth and value creation. Our venture capital activities are based in the Atlanta and Miami offices of the firm. More information is available at www.higventures.com