Source: Dow Jones Business Wire
 
MARLBOROUGH, Mass. & CHARLESTON, W.Va. - Conversent Communications and FiberNet, two of the nation's leading facilities-based Integrated Communications Providers (ICP), today announced the completion of their merger. The newly combined entity, Conversent Communications, Inc. (CCI), 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. 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," 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 revenue in 2004 at $205 million and EBITDA 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, DSL, 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 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 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. 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 serves as CEO of FiberNet. For further information, visit the FiberNet web site at www.wvfibernet.net.