Fez,
Thanks for the report. No one seems to have reported today's closing of the IXnet deal:
<<Global Crossing Completes Acquisition of IXnet and IPC
IXnet and IPC bring to Global Crossing a customer base of
over 2,000 financial services firms, a global extranet with
presence in 38 countries and over 1,500 customer access
nodes.
IXnet also brings Global Crossing more than 30 leading
content and financial information providers whose
applications are hosted in and distributed from data centers
in New York and London.
IXnet and IPC customers will benefit from the extensive
Global Crossing network and GlobalCenter's complex web
hosting capability.
The acquisition accelerates Global Crossing's strategy to
provide connectivity between customer premises worldwide.
Hamilton, Bermuda--June 15, 2000--Global Crossing Ltd. (Nasdaq:GBLX - news). Global Crossing Ltd., which is building and offering services over the world's most extensive global IP-based fiber optic network, today announced that it has completed its acquisition of IXnet, Inc., provider of the world's first intelligent, high-performance global Extranet for the financial services community, and its parent company IPC Communications, Inc., the leading provider of sophisticated desktop trading systems to the global financial community.
Under the terms of the definitive acquisition agreement, 1.184 Global Crossing shares will be exchanged for each IXnet share not owned by IPC and 5.417 Global Crossing shares will be exchanged for each share of IPC. Based on Wednesday's closing price of Global Crossing shares, the transaction is valued at $33.82 for each of IXnet's 59.2 million fully diluted shares, and $154.72 for each of IPC's 10.1 million fully diluted shares. The total transaction value is approximately $2.1 billion, reflecting the fact that 73% of IXnet shares are owned by IPC.
``The addition of IXnet and IPC significantly advances our strategy to provide connectivity not only building-to-building, but from customer premises to customer premises on a global basis,'' said Leo Hindery, CEO of Global Crossing. ``With a presence in 38 countries, over 1,500 customer access nodes, trading systems on over 100,000 desktops, and an exceptional sales force experienced in serving multinational financial institutions, IXnet and IPC will increase our presence in the Asia Pacific region, as well as in financial markets in Europe and the Americas. In addition, IXnet's and IPC's established blue-chip client base gives us entree to more than 2,000 financial institutions worldwide, one of the industry's largest, fastest growing and most telecommunications-intensive customer segments.''
``With our companies a key part of Global Crossing, IXnet and IPC customers will benefit from the Global Crossing network, its GlobalCenter complex Web hosting capability and its worldwide resources,'' said David Walsh, CEO of IXnet and IPC. ``Now we have the breadth and resources to create exciting new network service offerings for the financial community and other markets worldwide. Over time, IXnet will improve its cost structure by moving services onto the extensive Global Crossing backbone network, now nearing completion.''
Mr. Walsh, who will continue his role as CEO of IXnet and IPC, has also been named Executive Vice President of Sales and Marketing at Global Crossing. Mr. Walsh's new position was effective with the closing of the transaction. Jim Demitrieus will continue as President of IXnet and IPC, reporting to Mr. Walsh.
About IXnet and IPC
IXnet, Inc. provides a high performance intelligent global Extranet designed exclusively for the financial community. Through a single connection, IXnet delivers end-to-end managed data and voice communications solutions to the financial services community around the world. IXnet uniquely offers superior performance, reliability and security along with rapid provisioning and dedicated customer support -- keeping market participants in constant contact 24 hours a day. Customers receive voice and data connectivity, plus financial content and transactional capabilities on IXnet's global Extranet without having to access multiple disparate public networks or rely on multiple customer service organizations.
With offices in financial centers around the world, Network Operating Centers in New York, New Jersey and London, presence in 38 countries and over 1,500 customer access nodes, IXnet serves more than 700 of the world's top financial firms.
Prior to its acquisition by Global Crossing, IXnet was a part of IPC Information Systems, Inc., a subsidiary of IPC Communications, Inc., the world's leading supplier of voice trading systems to the financial services community with a sophisticated suite of globally integrated voice and data telecommunications products. Effective today, both companies are part of Global Crossing. IPC's patented digital TRADENET MX© is the most widely installed voice trading system in the world. IPC's comprehensive portfolio also includes its ALLIANCE MX(TM) voice trading system, TradeSmart CTI(TM) Solutions, and complete customer care programs.
IPC serves approximately 2,000 customers around the world, focusing on the financial trading environment by designing, manufacturing, installing, and servicing products that allow traders to communicate with each other instantly and reliably. IPC's reputation for quality and service is unmatched.
About Global Crossing
Global Crossing Ltd. (Nasdaq: GBLX - news) is building and offering services over the world's most extensive global IP-based fiber optic network, which will have more than 101,000 route miles, serving five continents, 27 countries and more than 200 major cities. Global Crossing's subsidiary, GlobalCenter Inc., is a leading Internet service business, and its customers include many of the largest and most densely trafficked sites on the Web. Asia Global Crossing, a joint venture among Global Crossing, Microsoft Corporation (Nasdaq: MSFT - news), and Softbank Corp. (Tokyo Stock Exchange: 9984), is building the first pan-Asian broadband IP network to provide broadband and Internet services to the Asia-Pacific region. Global Crossing's operations are headquartered in Hamilton, Bermuda, with principal offices in Los Angeles, California; London, England; Morristown, New Jersey; Rochester, New York; and Miami, Florida. Visit Global Crossing at www.globalcrossing.com on the Web.
Statements made in this press release that state the Company's or management's intentions, beliefs, expectations, or predictions for the future are forward-looking statements. Such forward-looking statements are subject to a number of risks, assumptions and uncertainties that could cause the Company's actual results to differ materially from those projected in such forward-looking statements. These risks, assumptions and uncertainties include: the ability to complete systems within currently estimated time frames and budgets; the ability to compete effectively in a rapidly evolving and price competitive marketplace; changes in the nature of telecommunications regulation in the United States and other countries; changes in business strategy; the successful integration of newly-acquired businesses; the impact of technological change; and other risks referenced from time to time in the Company's filings with the Securities and Exchange Commission.
Contact:
Global Crossing Ltd.
Jensen Chow
+1/310/385-5283 (Investors)
investors@globalcrossing.com
Kim Polan, +1/212/687-8080 (Press)
kpolan@sardverb.com
Tom Goff, +1/310/385-5231 (Press)
tgoff@globalcrossing.com
General information:
Visit Global Crossing at www.globalcrossing.com
on the World Wide Web>>
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