A look at the lineup and what they offer
| • | Hawai'i tech firms making pitches for venture capital |
Advertiser Staff
Six Hawai'i companies will bare their souls to about 100 venture capital investors this month at the 2001 Investors Choice International convention on Maui. Here is a rundown on the companies, and on their prospects as described by local venture capitalists:
Company
What they do
Company line
What they want
The venture capitalists say
Destination Technologies
Software-based services for planners of large corporate events and meetings
Software simplifies life for event planners, condensing hundreds of tasks into one unified interface.
$1.5 million
The business model isn’t clear. There’s plenty of competition in that extremely complex marketplace. To attract investors, they would need to show they can dominate the market.
Hawaii Biotechnology Group Inc.
Research and market vaccines, “libraries” of biological compounds, disease treatments
With several products in the works and an established base of research grants, they hope to license patented products to pharmaceutical companies.
$10 million over two years
Excellent ideas and good products in the “hot” biotechnology sector should play well with the investors.
IndaSea Inc.
Create software tools that allow for rapid transformation of online content
New software allows programmers to change applications “on the fly.” Protected by extremely broad patents. Management predicts revenues of $60 million in five years.
$3 million
The concept is so intriguing, and the pitch so slick, that it’s sure to attract lots of attention from investors.
OptimEyes Supply Corp.
Supply chain integrator for the optical industry (glasses etc.)
Says its computerized logistics system can cut doctors’ and insurers’ costs and speed delivery of new glasses. A multimillion-
dollar contract is pending with Blue Cross. The company projects revenues of $44 million and profits of $30 million by 2005.$5 million
An interesting idea, but it’s a one-shot deal: Lose the Blue Cross contract and the model doesn’t work. There’s also the threat of competing systems.
PixelWorld Networks
Compile digital video for distribution over the Internet
Having partnered with local governments and the travel industry in Hawai‘i, they plan to expand. The business model, which counts on advertising, subscriptions and other fees, predicts
$4 billion in revenues by 2005.$24 million over two years
Revenue projections are unrealistic, and the business model too closely resembles a dot-bomb. Management needs to rethink its pitch.
Viata Online
Back-end Internet software for the wholesale travel industry
By replacing inefficient systems with an online standard, Viata hopes to save money for wholesalers and hotels and generate $500 million in revenues and $350 million in profits by 2006.
$5 million
The pitch is decent, but some worry about possible competitors and want to see a more focused business model.
