PA Early Stage's Incurrent Solutions Acquired by Online Resources Corp.

PA Early Stage's Incurrent Solutions Acquired by Online Resources Corp.

WAYNE, Pa., Jan. 26 /PRNewswire/ -- PA Early Stage announced that one of its portfolio companies, Incurrent Solutions, located in Parsippany, N.J., has been acquired by Online Resources Corp. (NASDAQ:ORCC). The purchase price consisted of $8 million in cash and 1 million shares of Online Resources common stock valued at $7.3 million on the December 22, 2004 closing date, for a total transaction price of $15.3 million.

Founded in 1997, Incurrent Solutions, now the Card & Credit Services division of Online Resources, develops and operates web-based services for the global credit card industry, including issuers of consumer, small business, corporate T&E, purchasing and private label cards. Online Resources is a leading outsourcer of Internet banking and payment services to banks, credit unions and payment acquirers.

"PA Early Stage played a critical role in helping us build our business into one of the premier web-based services for the credit card industry," said David J. Hickey, former chief executive officer of Incurrent Solutions and now president of Online Resources Card & Credit Services division. PA Early Stage participated in the company's second round of funding in 2001.

"The combination of Online Resources proprietary services to the financial industry and Incurrent's technology and strength in the credit card services industry will be very powerful," said Dean Miller, a partner at PA Early Stage and a former member of Incurrent Solutions board of directors.

PA Early Stage has a strong record of successful portfolio company liquidations, including AANetcom, a fabless semiconductor company, which was acquired by PMC-Sierra in a transaction valued at approximately $900 million; OraSure Technologies, a leader in oral fluid diagnostics, which merged with a publicly-traded company in a stock deal valued at approximately $255 million; and Half.com, a leading exchange that connects buyers and sellers, which was acquired by eBay in a transaction valued at approximately $300 million. The management team just recently announced the close of PA Early Stage III, an $86 million fund, raising its total under management to $237.5 million.

About Online Resources Card & Credit Services (formerly Incurrent Solutions, Inc.)

Online Resources Card & Credit Services division was founded in 1997 and is now among the most widely adopted credit card banking systems. Online Resources Card & Credit Services develops and operates advanced online products for financial institutions in the global payment card industry, including issuers of consumer, small business, purchasing card, corporate T&E, and private label cards. Together with Online Resources Banking and eCommerce Services, the Company powers Internet financial services for 700 firms nationwide. The Company's proprietary account presentation, payment and relationship management services are branded to its client banks, credit unions, card issuers and processors, and payment acquirers. The Company serves over 2.5 million consumer end-users and processes over $10 billion in payments annually. Founded in 1989, Online Resources (NASDAQ:ORCC)(NASDAQ:Website: http://www.orcc.com) has been widely recognized as one of the nation's fastest growing technology firms.

About PA Early Stage Partners

Founded in 1997, PA Early Stage Partners is an experienced venture capital fund that seeks portfolio companies located in the corridor from New York to Washington, D.C., with a primary focus on companies located in Pennsylvania. PA Early Stage invests in early stage technology and life sciences companies, typically as a lead or co-lead investor. The Fund also has a strategic relationship with the Pittsburgh Life Sciences Greenhouse (http://www.plsg.com/) through which the fund will focus on Pittsburgh-based life sciences investments. PA Early Stage currently has approximately 30 active portfolio companies and $237.5 million under management across three venture funds, and is actively making new investments from PA Early Stage III, an $86 million fund. The fund can be found on the Web at http://www.paearlystage.com/.


Source: PA Early Stage

CONTACT: Steve Barnes of PA Early Stage, +1-610-254-4298, or Ron Ticho,
+1-610-360-0205, for PA Early Stage

Web site: http://www.orcc.com/

Web site: http://www.plsg.com/

Web site: http://www.paearlystage.com/


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