Private Equity Investor investment sold to Cisco Systems

Private Equity Investor PLC ("PEI" or "the Company"), the investment trust which invests in early to pre-IPO stage information technology companies through a broad range of specialist US Venture Capital Funds, announces that one of its investments, Okena Inc, has been sold to Cisco Systems Inc. for $154 million in Cisco stock, against a book value of $29 million. PEI has a 1.06% holding in Okena, a privately owned network security software company, through its 4.6% holding in APV Technology Partners III ("APV III"). The proceeds to APV III will be approximately $35 million in Cisco stock. The gross proceeds to PEI will be approximately $1.63 million in Cisco stock, equivalent to a 381% gross return on investment.

The sale is subject to various closing conditions and is expected to close by the end of April 2003.

Okena is a developer of highly innovative behaviour-based technology that goes beyond conventional desktop and server security solutions to protect companies against threats such as viruses, worms, Trojan houses and buffer overload attacks. Okena's turnover for Q3 2002 was $800,000 and it had not at that stage reached profitability.

Barbara Thomas, Chairman of Private Equity Investor, commented: "At the time of our interim results we stated that we were encouraged by a shift to optimism on the part of our venture capital partners. We are delighted by Okena's success which is indicative of improving sentiment in the technology market and demonstrates that quality companies are continuing to grow and achieve liquidity events despite the difficult market conditions currently prevailing."