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NewStar Financial Serves as Syndication Agent for $55 Million Financing of Wire One Communications, Inc.

NewStar works with the Gores Group, LLC to complete transaction

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Boston, MA, March 28, 2007 – NewStar Financial, Inc.(NASDAQ: NEWS), a commercial finance company, announced it has provided a senior debt refinancing for Wire One Communications, Inc. ("Wire One"). Wire One, based in Westminster, CO, is one of the nation's leading end-to-end video conferencing solutions providers. The Company is majority owned by the Gores Group, LLC, a Los Angeles-based private equity firm focused on acquiring controlling interests in mature and growing businesses."This transaction reduces Wire One's cost of capital and increases their flexibility moving forward," said Tim Shoyer, co-head of middle market for NewStar. "We are proud to be associated with the exceptional people at Wire One, and to work with the Gores Group on this transaction." NewStar was the Syndication Agent for the $55 million senior credit facilities that included a 5-year, $5.0 million Revolving Credit Facility, a 5-year, $35.0 million Term Loan A and a 5-year, $15.0 million last-out Term Loan B. Orchard First Source Capital, Inc. acted as Agent and Lead Arranger for the facilities. NewStar's deal team for this transaction included Jeremy Back, Austin Dean, Levi Richardson, Samir Yajnik and John Koehler.Wire One has more than 20 years of experience in the videoconferencing sector and produces more than 40,000 videoconferences per year, more than any other host in the world.About The Gores GroupFounded in 1987, The Gores Group is a private equity firm focused on acquiring controlling interests in mature and growing businesses which can benefit from the firm's operating experience and flexible capital base. The firm combines the operational expertise and detailed due diligence capabilities of a strategic buyer with the seasoned M&A team of a traditional financial buyer. The Gores Group has become a leading investor, primarily in the technology and telecommunications sectors, having demonstrated over time a reliable track record of creating substantial value in its portfolio companies alongside management. Headquartered in Los Angeles, California, The Gores Group maintains offices in Boulder, Colorado and London. For more information, please visit NewStar Financial, Inc.:

NewStar Financial is a specialized commercial finance company focused exclusively on meeting the complex financing needs of customers in the middle market through our corporate, commercial real estate, and structured products groups. Our senior banking teams call directly on customers to provide advice and finance a range of strategic transactions that may require some combination of senior secured, second lien and mezzanine financing. NewStar typically works with customers with financing needs of up to $150 million and cash flow as low as $5 million. We target 'hold' positions of up to $35 million, but may also underwrite or arrange transactions up to $100 million for syndications to other lenders. We are headquartered in Boston MA, with regional offices in Darien CT, Chicago IL, San Francisco CA, San Diego CA, and Charleston SC. In December of 2006, NewStar completed an Initial Public Offering. The Company's shares trade on the NASDAQ under the ticker symbol, NEWS. Please visit our website at for more detailed transaction and contact information.

Corporate Inquiries:

NewStar Financial

Robert K. Brown

(617) 848-2558
Press-Related Inquiries:

Gaffney Bennett Public Relations

Annie Donnelly
(860) 416-1365

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