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Technology Stocks : Qwest Communications (Q) (formerly QWST) -- Ignore unavailable to you. Want to Upgrade?

To: David Lawrence who wrote (1134)	4/15/1998 9:40:00 AM
From: MangoBoy	Read Replies (1) \| Respond to of 6846

[Qwest Completes Acquisition of EUnet International; Qwest Aggressively Enters European Data Market] DENVER--(BUSINESS WIRE)--April 15, 1998--Qwest (NASDAQ:QWST) today announced the completion of the acquisition of Amsterdam-based, EUnet International, a leading European Internet service provider (ISP). With business units operating in 13 countries -- Austria, Belgium, Finland, France, Spain, Portugal, Norway, Sweden, Luxembourg, Czech Republic, Switzerland, Romania and Estonia -- EUnet serves more than 60,000, primarily business, customers throughout Europe. EUnet had revenues in 1997 of approximately $55 million, and 1998 revenues are expected to reach $16 million in the first quarter and over $75 million for the entire year. In addition, Qwest will fund EUnet's recent acquisition of a 50 percent interest in X-Link, a leading German Internet service provider. As of April 14, 1998, the requisite number of EUnet shareholders have agreed to the transaction. EUnet shareholders will receive approximately $135.5 million in newly issued shares of Qwest common stock, approximately $4.5 million in cash, and approximately $14.4 million in cash or additional Qwest shares at Qwest's option. The acquisition was accounted for as a purchase. Certain customary conditions, including the receipt of applicable securities law approval, were satisfied. "Qwest is building the world's most powerful native IP network, and the acquisition of EUnet complements this network by establishing a significant presence in the European data market -- a market expected to reach $55 billion by the year 2000," said Joseph P. Nacchio, president and CEO of Qwest. "By combining Qwest's U.S. native IP fiber optic network and extensive transatlantic capacity with EUnet's technical expertise and substantial European market presence, a solid foundation has been created giving Qwest an unparalleled capability to transmit data to and from Europe." EUnet, established in 1982 as the first European provider of Internet services for business use, was instrumental in creating Europe's Internet infrastructure. Today, EUnet provides, via subsidiaries, affiliated companies and business partners, one-stop shopping for corporate Internet access in Europe with a network spanning more than 42 countries and more than 400 PoPs (Points of Presence). Via its transit-free backbone, EUnet offers the business community a wide range of turnkey Intranets to mobile access, Webcasting, Web Storefront and E-commerce solutions. The Qwest shares to be exchanged in the transaction will be issued in a private placement exempt from registration under the Securities Act of 1933 (the "Securities Act"). The shares will be registered for resale under the Securities Act within three weeks following the closing of the previously announced merger between Qwest and LCI International, or by Sept. 30, 1998, whichever is earlier (or under certain circumstances, as late as Oct. 31, 1998).