PSIX is the only internet stock that is positive today.
PSINet says completes four acquisitions
Reuters Story - July 07, 1998 13:40
HERNDON, Va., July 7 (Reuters) - PSINet Inc. Tuesday said
it had completed the purchase of four Internet companies for
about $46 million in cash.
The firms are LinkAge in Hong Kong, INX in Germany,
SCII-CavaPro in France and ioNET in the United States, the
statement said. They generate combined annual revenues of more
than $23 million, the company noted.
A company statement described the purchase as "another
major step in executing PSINet's strategy to expand its
presence in the top 20 telecommunications markets worldwide."
The company completed a $600 million financing earlier this
year intended for acquisitions, the statement noted.
"Our acquisition team stepped up activity following the
financing and continues to actively search for the best
Internet partners worldwide, using a disciplined approach,"
William Schrader, company chairman, said in the statement.
"Combined with our acquisitions earlier this year of iSTAR
Internet Inc. in Canada, Internet Prolink S.A. in Switzerland,
STI-CalvaCom in France and Interactive Telephony Ltd. in the
United Kingdom, PSINet has acquired over $50 million in annual
revenues," he added.
The company said it will report second quarter earnings on
July 21.
The four acquisitions will have no appreciable revenue
effect until the third quarter, the company said. However, the
company said it anticipates a write-off of up to $20 million
for acquired research and development expenses.
PSINet, based in Herdon, Va., is a global facilities-based
Internet protocol data communications carrier. |
