YORK, Maine, March 30 /PRNewswire/ -- (http://www.loftware.com) Loftware Inc. today announced the completion of a private recapitalization of the York, Maine based company. A team of investors led by the Private Capital Group of BNP Paribas and including Greyrock Capital Group has purchased an interest in the Company in anticipation of continued expansion and new growth initiatives.

Loftware has been designing and deploying auto identification solutions since 1986 and continues with its product evolution of 'marking the data', by driving data not only to barcode labels, but also to RFID (Radio Frequency Identification) devices. Included as a major offering within a customer's enterprise system, Loftware's products serve several vertical markets, including but not limited to, healthcare, automotive, aerospace, manufacturing, logistics, and retail. Many top Fortune 500 and 1000 companies rely on Loftware's enterprise suite of marking solutions to help increase productivity and reduce operating costs throughout their supply chain system.

"We are extremely pleased and excited to join and partner with this new multi disciplinary team," commented Eric Anderson, Loftware's Chief Executive Officer. "With record new software sales and on-going annual maintenance growth achieved in 2004, along with four consecutive years of healthy profitability, this continued expansion will further enhance and accelerate our strategic plans in achieving a much larger share of the enterprise software market within our supply chain niche both in North America and abroad."

"Our new partners share our vision of bringing the best of breed bar code and RFID solutions to the Auto ID industry," added Dana Anderson, Loftware's President and Chief Technology Officer. "They are highly committed to our technological philosophies and will be very instrumental as we develop and roll out our future product offerings. They sit solidly behind our strategic plans to take our product lines and the company to the next level. We are glad to have them on board."

"For the new investors, Loftware represents an opportunity to invest in a well-managed business with an impressive customer list, a reputation for quality and exciting growth prospects. The expected widespread acceptance of RFID tags as the next generation of marking or electronic identification technology in the global supply chain has created a compelling opportunity for Loftware," said Ed Irwin, Managing Director of BNP Paribas. "We look forward to supporting management as they continue to expand Loftware's product offerings and build the customer base."

Citigroup Geneva Capital Strategies, Inc. advised Loftware on the recapitalization.

About Loftware

Loftware with its headquarters in York, Maine pioneered the very first barcode label design and printing software application for PC over two decades ago. Since that time the company has led the development efforts to provide best in class enterprise marking and identification software solutions including RFID to Fortune 100 and 500 companies supply chain operations across the globe. Loftware's products now extend supply chain efficiencies beyond just bar-coding by supporting and complying with the latest EPC (Electronic Product Code) standards and specifications for programming and managing RFID Smart Labels and Tags. Industries including automotive, aerospace, electronic, medical, transportation are managing their supply chains everyday using Loftware's latest technologies.

About the Investors

The Private Capital Group is the private equity arm of BNP Paribas in North America. It seeks to invest in well-managed middle market service or manufacturing companies that need capital for growth, shareholder liquidity and/or recapitalization. PCG's other recent software investments include Sirsi, Inc, the leading U.S. provider of library management systems; and Automated Resources Group, a provider of automated database marketing services for magazine and newsletter publishers. BNP Paribas, headquartered in Europe, is currently the tenth largest bank worldwide. Further information on the Private Capital Group of BNP Paribas is available at http://www.pcg.bnpparibas.com or +1-212-841-2246.

Greyrock Capital Group provides mezzanine debt and equity to finance buyouts, recapitalizations and internal growth needs of middle-market companies. Further information on Greyrock is available at http://www.greyrockcapitalgroup.com.

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

Stephanie Youker of Loftware, Inc, +1-207-363-3195, pr@loftware.com