Combining Capital with
Proven Technology To
Create Growth Oriented
Companies

Partnership

Portfolio Companies

Investment Objectives

Investment Criteria

Investment and Due Dilligence Processes

InSitech, Inc. (“InSitech”) and the Chart Group, L.P. (“Chart”) have formed Chart Venture Partners, L.P. (“CVP” or the “Partnership”) to invest in private companies that will primarily acquire and commercialize federally funded, proven technologies with applicability in the defense and security sectors, as well as the broader commercial markets. The recent dramatic increase in spending on homeland defense and security has created significant demand for innovative technologies, many of which are emerging from government and university research labs.

The Partnership will concentrate its investing activities principally (but not exclusively) on technologies developed, funded, or required by the Armament Research, Development and Engineering Center based at the U.S. Army’s Picatinny Arsenal (“Picatinny” or “ARDEC”) in Morris County, NJ. InSitech has been selected by ARDEC as its partnership intermediary to represent the business interests of ARDEC and facilitate the commercialization of intellectual property provided, or funded through research universities, by ARDEC.

Picatinny ARDEC has a substantial research and development budget and exceptional capabilities in sensing, optics, guidance systems, energetics, manufacturing sciences and nanotechnology. There are over 4,500 engineering, research, and science personnel, $1.2 billion in high-tech equipment and over 64 laboratories resident among Picatinny’s 6,500 acres. As one of the U.S. Army’s principal research and development facilities, Picatinny ARDEC is an internationally acclaimed R&D center and was the Department of Defense (“DoD”) Laboratory of the Year in 2004.

InSitech is responsible for sourcing, and investing in, private sector technologies to assist in ARDEC’s development programs. This provides the Partnership with a unique inside perspective on the technology requirements of the military, an important buyer in this sector. If an emerging technology or private company has an acceptable technology, the Partnership may invest in order to enhance the existing product so that it satisfies ARDEC’s requirements and can be purchased by the Army. This will be a “spin-in” offered to ARDEC by the Partnership.

Furthermore, the Partnership’s physical location within Picatinny ARDEC is a competitive advantage, granting it unprecedented access to the research personnel, capabilities and technologies generated there.

An equally important reservoir of technology available to the Partnership is the university and research institution initiatives that are funded by Picatinny ARDEC. Picatinny ARDEC invests in academic research projects. This is a vibrant contributor to the volume of new technology that can be commercialized by the Partnership, and expands the Partnership’s reach.

The Partnership will be subject to, and operate in compliance with, the prohibitions administered by the U.S. State Department’s Directorate of Defense Trade Controls (with respect to defense technologies), U.S. Treasury Department’s Office of Foreign Assets Control (with respect to anti-terrorism and economic sanctions controls) and the U.S. Commerce Department’s Bureau of Industry and Security (with respect to export controls governing trade and dual use products), to the extent applicable.

To learn more, please visit www.chartventure.com.