PSIX......... Mexican Markets!
PSINet Enters Mexican Internet Market; Purchase Marks Increased Presence to 14 of the Top 20 Telecommunications Markets
Business Wire - May 26, 1999 09:05
HERNDON, Va.--(BUSINESS WIRE)--May 26, 1999--PSINet Inc. (NASDAQ:PSIX), the first and largest independent facilities based commercial Internet service provider (ISP), today announced its entrance into the Mexican market. The company acquired two privately held ISPs, Internet de Mexico and DataNet, both based in Mexico City. Combined, the acquisitions position PSINet as the fourth largest ISP in Mexico.
Internet de Mexico and DataNet serve both businesses and consumers with dedicated and dial-up connectivity as well as Web hosting capabilities.
These acquisitions are PSINet's fourth and fifth in Latin America in the last month. The company recently announced the acquisition of three ISPs in Brazil. Mexico is the second largest telecommunications market in Latin America and the 15th largest in the world. Its capital, Mexico City, has approximately 25 million residents who own over 40% of the total number of computers in the country.
"Mexico is an important market in North America with enormous economic potential," said Harold S. (Pete) Wills, PSINet president and chief operating officer. "With approximately 4.2 million PCs in the country, and a healthy economy, Mexico has the potential to grow as fast or faster than any other country in the region. These acquisitions continue our well-defined strategy to gain a strong position in the top global telecommunications markets."
Once integrated, Internet de Mexico and DataNet customers will have access to PSINet's full portfolio of dial-up and dedicated connectivity services. All of PSINet's value-added services will then be added, including electronic commerce, Web hosting, global roaming, intranet, Internet faxing, voice-over-IP and security services.
Terms of the agreements were not disclosed. Both companies are expected to be accretive to PSINet's EBITDA (earnings before interest, tax, depreciation and amortization.)
Headquartered in Herndon, VA, PSINet is a global facilities-based Internet data communications carrier focused on the business marketplace. PSINet offers a broad set of high-speed corporate LAN connectivity services supporting managed security and guaranteed Internet, intranet, electronic commerce, Web hosting services, and services for other carriers and ISPs. PSINet operates an international technologically advanced frame relay and ATM-based, IP-optimized network consisting of more than 530 POPs around the world serving primary markets in Belgium, Brazil, Canada, France, Germany, Hong Kong, Italy, Japan, Mexico, the Netherlands, the Republic of Korea, Switzerland, the United States, and the United Kingdom. PSINet information can be obtained by e-mail at info@psi.com, by accessing the Web site at psinet.com or by calling toll free 1-800-799-0675.
CONTACT: PSINet, Herndon
Media Contact:
Reid Walker
(703) 375-1103
rwalker@psi.com
or
Analyst Contact:
Kelli Harrington Nemer
(703) 375-1245
harringtonk@psi.com
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%VA-PSINET PSIX %VIRGINIA %INTERNATIONAL %LATIN %AMERICA %COMED %COMPUTERS %ELECTRONICS %TELECOMMUNICATIONS %INTERACTIVE %MULTIMEDIA %INTERNET V%BW P%BW
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