has been acquired by

has been acquired by

Financial advisor to Broadview International

December 2003

Freeman & Co. Acted as Financial Advisor to Broadview International
December 2003
Sell-Side M&A

Jefferies to broaden profile in technology sector with acquisition of Broadview - deal expands investment banking for middle-market technology and growth companies, leverages Jefferies' platform in trading, research and asset management

December 19, 2003 (New York, NY) - Jefferies Group, Inc. (NYSE: JEF) today announced that it has entered into a definitive agreement to acquire Broadview International, a leading M&A advisor to technology companies. The acquisition is expected to be completed by year-end.

Broadview employs more than 75 investment bankers in offices in New York, Silicon Valley, Boston and London. Founded in 1973, the firm has provided clients with advice on merger and acquisition transactions, restructurings and strategic private placements. Over the last five years, Broadview has completed 321 M&A transactions worth a total of $54.3 billion, including 96 public-to-public transactions. Reflecting the global reach of its professionals, the total includes 44 transactions for companies based in Europe or Asia.

The addition of Broadview, with its complementary industry and product offerings, is a key component of Jefferies' strategic expansion into the technology sector, where the firm is already a significant institutional trader. The transaction represents an important continuation of Jefferies' strategy to create the leading investment bank serving middle-market companies and their investors.

Richard B. Handler, Chairman and CEO of Jefferies, commented, "A significant presence in the technology sector is key to our building the leading firm serving middle-market investors and issuers. This partnership combines Jefferies' strong investment banking, trading, research and asset management capabilities with the extensive technology industry knowledge and expertise of Broadview, and is an example of our ongoing plan to leverage the Jefferies platform in strategic areas."

"The consolidation of technology investment banking has left growth companies and their venture capital investors largely under served," remarked Paul F. Deninger, Chairman and CEO of Broadview Holdings LLP. "Our combined offerings uniquely position us to better meet the needs of this market as we build the leading investment bank for middle-market technology and growth companies."

With Broadview, Jefferies will be a leading provider of investment banking services for middle-market companies in growth industries, including aerospace & defense, business services, healthcare, knowledge services, media, and technology, among others. Due to the abundance of growth companies in the technology sector, this union is also a logical expansion of Jefferies' broader capabilities in serving the middle market, and is complementary on a number of levels.

In mergers and acquisitions, the number of transactions completed by Jefferies and Broadview, in total, would rank ninth among all financial advisors for the first ten months of 2003, according to Mergerstat. Broadview's international banking presence further enhances Jefferies' efforts in Europe and Asia, which are primarily based in trading. In the capital markets, Jefferies is a leading institutional equity trader, ranking fourth as a Top 5 Trader of more than 1,800 Nasdaq stocks, over 350--or nearly 20%--of which are technology-related, according to AutEx(R), January through September 2003. In addition, Broadview, through its affiliated funds, Kennet Venture Partners and Broadview Capital Partners, also adds technology to Jefferies' areas of established expertise in asset management.