Conversent Communications and FiberNet Finalize Merger; Secure $225 Million in Funding led by Bank of America; Deals Point to Continued Growth and Strength of Integrated Communications Provider.MARLBOROUGH, Mass. & CHARLESTON, W.Va. -- Conversent Communications and FiberNet, two of the nation's leading facilities-based Integrated Communications Providers (ICP (1) (Internet Cache Protocol) A protocol used by one proxy server to query another for a cached Web page without having to go to the Internet to retrieve it. See CARP and proxy server. ), today announced the completion of their merger. The newly combined entity, Conversent Communications, Inc. (CCI CCI Chambre de Commerce et d'Industrie (France) CCI CAM (Complementary and Alternative Medicine) Citation Index CCI Chamber of Commerce and Industry (Western Australia) ), serves customers in 11 states throughout the Northeast and Mid Atlantic. With the merger, CCI also announced it has secured a $225 million debt facility from a group of financial investors led by Bank of America
Bank of America (NYSE: BAC TYO: 8648 ) is the largest commercial bank in the United States in terms of deposits, and the largest company of its kind in the world. . CCI will use part of this funding to expand to regions adjacent to its current markets. "This merger brings together two industry leaders that have consistently demonstrated there is a better alternative to the Baby Bells The nickname given to the regional Bell operating companies after Divestiture in 1984. See Bell System and RBOC. ," said Robert Fanch, who founded both Conversent and FiberNet and will serve as Executive Chairman of CCI. "Bank of America and other financial investors have clearly recognized our success and placed full confidence in our future. We are excited to continue our growth and provide even more customers with the exemplary service that has long been the trademark of Conversent and FiberNet." CCI is one of the most successful ICPs in the nation, with Pro Forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma revenue in 2004 at $205 million and EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become exceeding $65 million. The company serves more than 58,000 customers and 300,000 local access lines with over 3,900 miles of state-of-the-art fiber optic network, seven voice switches, and 196 co-locations. Under the merger agreement, Conversent and FiberNet will retain their respective brand identities in the markets they currently serve and customers of both companies will not experience any changes in operations, sales, service, or billing. Additionally, the companies will maintain all regional office locations, which will ensure continued local customer sales and service, as well as their commitment to the communities. Conversent and FiberNet offer a full complement of local, long distance, and data services, including VoIP, VPN (Virtual Private Network) A private network that is configured within a public network (a carrier's network or the Internet) in order to take advantage of the economies of scale and management facilities of large networks. , DSL DSL in full Digital Subscriber Line Broadband digital communications connection that operates over standard copper telephone wires. It requires a DSL modem, which splits transmissions into two frequency bands: the lower frequencies for voice (ordinary , and Internet, to a range of business customers as well as government and educational institutions. In addition, FiberNet provides voice and Internet services to the residential market. "By combining our network, customer base and technical expertise, Conversent and FiberNet continue to solidify our presence and power in the marketplace," said Robert Shanahan, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Conversent. "We are looking forward to working together to further expand our footprint and our services throughout the Northeast and Mid Atlantic to ensure that customers have a real choice when it comes to their data and voice needs." The $225M debt facility was provided by a group of financial institutions led by Bank of America, N.A., which served as Administrative Agent and lead arranger for the transaction. CIT n. 1. A citizen; an inhabitant of a city; a pert townsman; - used contemptuously. Which past endurance sting the tender cit. - Emerson. Group, Inc. is the Documentation Agent. Banc of America Securities provided advisory services to Conversent in connection with the merger, and The Blackstone Group served as advisor to FiberNet. Miller Buckfire Ying & Co. served as financial advisor to Fanch Communications, Inc. in connection with these transactions. About Conversent Communications Conversent is a facilities-based communications provider that offers businesses a broad portfolio of voice, data and Internet Services that are bundled to meet the specific needs of each customer. Recognized as one the Northeast's premiere telecommunications providers, Conversent provides its clients innovative and flexible communication solutions backed by a dependable network and a knowledgeable and dedicated customer support staff. Conversent was co-founded in 1998 by cable entrepreneur Robert Fanch and Conversent's president and CEO, Robert Shanahan. More information is available at www.conversent.com. About FiberNet FiberNet, L.L.C. was formed in West Virginia in 1997 and is affiliated with The Blackstone Group, Charter Communications, and Fanch Communications, Inc. Since its inception, FiberNet has proven itself to be the statewide leader as a competitive telecommunications service provider A Telecommunications Service Provider or TSP is a type of Communications Service Provider that has traditionally provided telephone and similar services. This category includes ILECs, CLECs, and mobile wireless companies. . FiberNet provides telephone, high-speed voice and data and networking services to businesses, educational institutions and state government agencies pairing world class technology with superior and personalized customer service. Jack Pottle pot·tle n. 1. A pot or drinking vessel with a capacity of 2.0 quarts (1.9 liters). 2. The liquid contained in this type of pot or drinking vessel. 3. An old English liquid measure equal to 2.0 quarts (1.9 liters). serves as CEO of FiberNet. For further information, visit the FiberNet web site at www.wvfibernet.net. |
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