CHICAGO and CAGLIARI, Italy, Oct 1, 2010 (GlobeNewswire via COMTEX) — Neutral Tandem, Inc. /quotes/comstock/15*!tndm/quotes/nls/tndm (TNDM 12.67, +0.72, +6.04%) , a leading provider of interconnection services, announced today it has completed its acquisition of Tinet, SpA, an Italian-based global carrier exclusively committed to the IP Transit and Ethernet wholesale market. The combination immediately expands Neutral Tandem’s IP-based network internationally, enabling global end-to-end delivery of wholesale Voice, IP Transit and Ethernet solutions. The acquired business will now be a wholly owned subsidiary of Neutral Tandem.

Neutral Tandem and Tinet announced the signing of a definitive agreement on September 9, 2010. To acquire Tinet, Neutral Tandem paid cash consideration of approximately 74.5 million euros (approximately $99.8 million), which reflects certain purchase price adjustments and includes the following assumption of cash and repayment of long-term debt. As part of the 74.5 million euros purchase price, Neutral Tandem assumed approximately 5.2 million euros in cash (approximately $7 million) and caused Tinet to pay off approximately 18.2 million euros in long-term debt (approximately $24.4 million).(1)

“We believe that this deal will allow us to leverage our core competencies, expand our global footprint, accelerate our Ethernet initiatives and move beyond voice into data solutions,” said Rian Wren, President and CEO of Neutral Tandem. “We are pleased to have completed this acquisition and are excited to begin our efforts to capitalize on the new opportunities created by the transaction.”

Cautions Concerning Forward Looking Statements

This press release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical fact, included in this press release regarding Neutral Tandem’s strategy, future operations, future financial position, future revenues, projected costs, prospects, plans and objectives of management are forward-looking statements. The words “anticipates,” “believes,” “expects,” “estimates,” “projects,” “plans,” “intends,” “may,” “will,” “would,” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Neutral Tandem may not actually achieve the plans, intentions or expectations disclosed in its forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements Neutral Tandem makes. Factors that might cause such differences include, but are not limited to: the possibility that the expected efficiencies and cost savings from the proposed acquisition will not be realized, or will not be realized within the expected time period; the risk that our business and the Tinet business will not be integrated successfully; disruption from the proposed acquisition making it more difficult to maintain business and operational relationships; risks associated with our ability to successfully develop and market international voice services and Ethernet interconnection services, including but not limited to identifying, obtaining, operating and maintaining attractive network switch sites, equipment and software, cost estimation errors or overruns, interconnection delays, material delays or shortages, our inability to obtain necessary third party rights or permits on a timely basis, if at all, and other factors, including the impact of regulation, many of which are beyond our control and all of which could delay or negatively affect our ability to offer or market this new service; and other important factors included in Neutral Tandem’s reports filed with the Securities and Exchange Commission, particularly in the “Risk Factors” section of Neutral Tandem’s Annual Report on Form 10-K for the period ended December 31, 2009, Quarterly Report on Form 10-Q for the quarter ended March 31, 2010 and Quarterly Report on Form 10-Q for the quarter ended June 30, 2010, as such Risk Factors may be updated from time to time in subsequent reports. Neutral Tandem does not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise.

About Neutral Tandem, Inc.

Headquartered in Chicago, Neutral Tandem, Inc. is a leading provider of tandem interconnection services to wireless, wireline, cable and broadband telephony companies. As of June 30, 2010, Neutral Tandem was capable of connecting approximately 500 million telephone numbers assigned to carriers in the United States. Neutral Tandem’s solutions include both voice and Ethernet interconnection services. Neutral Tandem’s solutions build redundancy, security and operational efficiencies into the nation’s telecommunications infrastructure. Neutral Tandem announced plans to launch 14 Ethernet Exchanges by year end 2010. Please visit Neutral Tandem’s website at: www.neutraltandem.com

The Neutral Tandem, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=3797

About Tinet:

Tinet, formerly the carrier arm of Tiscali Group, is a global carrier exclusively committed to the IP and Ethernet wholesale market. With network presence and customers in EMEA, Americas and APAC, Tinet provides global IP Transit and Ethernet connectivity to Carriers, Service and Content Providers worldwide. The carrier guarantees customers proactive management of SLAs and protection from DoS attacks. Established in 2002, Tinet’s unique business model, based on focus and simplicity, assures the delivery of the highest standard of service. Tinet has grown to become one of the top 10 global IPv4 backbones and the number one IPv6 network worldwide. For more information on Tinet, please visit www.tinet.net.

Low Latency Path between Asia and Europe to Provide Added Value to Tinet’s IP Transit and Ethernet Customers
 
MILAN, ITALY – July 29, 2010 – Tinet, formerly the carrier arm of Tiscali Group (Tiscali Internetional Networks), the only global carrier exclusively committed to the IP and Ethernet wholesale market, announces today the addition of a new terrestrial route to its backbone between Hong Kong and Europe.
The new low latency route runs over the Transit Europe-Asia (TEA) cable system, extending over a terrestrial path from Stockholm, Sweden, across Russia and China, and into Hong Kong.
“Tinet’s acquisition of the capacity on the TEA systems adds further value, both in terms of increased network diversity and improved latency for our IP Transit and Ethernet customers, particularly those who run time-sensitive applications,” remarks Paolo Susnik, CEO of Tinet. “The route is indicative of Tinet’s continued focus on the needs of our wholesale customers who engage in carrier solutions to the financial trading markets, VoIP and other time sensitive applications.”
For more information please email sales@tinet.net or visit www.tinet.net
 
# # #
About Tinet:
Tinet, formerly the carrier arm of Tiscali Group, is the only global carrier exclusively committed to the IP and Ethernet wholesale market. With network presence and customers in EMEA, Americas and APAC, Tinet provides global IP Transit and Ethernet connectivity to Carriers, Service and Content Providers worldwide, within 7 working days. The carrier guarantees customers proactive management of SLAs and protection from dDoS attacks.
Established in 2002, Tinet’s unique business model, based on focus and simplicity, assures the delivery of the highest standard of service. Tinet has grown to become one of the top 10 global IPv4 backbones and the number one IPv6 network worldwide.
 
For more information on Tinet, please visit www.tinet.net.
 
For Tinet media inquiries, please contact Jaymie Scotto & Associates at +1.866.695.3629 or pr@tinet.net. From Ilissa Miller … on behalf of Tinet.

With ITW 2010 just two weeks away, Jaymie Scotto & Associates is sure you are scheduling meetings with the fierce veracity of the business you will be doing at this leading global event for the wholesale telecom industry.  The Marriott Wardman Park will be a flurry with men and women in suits doing deals.  But in order to do deals – you need to know the companies that you can do business with.  Here are six companies that  Jaymie Scotto and Associates say you may want to consider meeting:

Allied Fiber -spearheading the US Nation’s first long-haul dark fiber network system in over 10 years, this company is building a next-generation dark fiber network that will circumvent the United States providing access to all types of communication companies including carriers, service provides, mobile operators, microwave operators and more.  Allied Fiber is changing the way that networks are built in the US.  It is ‘America’s All Access Network’ bridging the communications gap between the middle mile and local mile together with International submarine cable systems – coast-to-coast.  Simply search for ‘Allied Fiber’ in the DealCenter to request a meeting.

Arbinet- No longer just the voice exchange that was launched in the late ’90’s – in the past year+ the company has transformed itself into a leading service provider and partner enabling companies, large and small, to leverage its world class infrastructure to achieve greater ROI on global termination of international voice minutes.  Connecting customers now companies have the control they require, with the intelligence to support them – without the traditionally heavy operating expenses.  You will want to find out about their premium voice services, carrier services, private exchange, mobile routes and developing products that will help you get the most out of your minute margins.  Oh – and their Data Exchange and IP solutions are cool too.  Simply search for ‘Arbinet’ in the DealCenter to request a meeting.

Hibernia Atlantic- The company has transformed substantially in the past year.  It’s Project Kelvin – submarine cable system connecting Northern Ireland to North America and Europe is now live.  The company also acquired MediaXstream in December 2009 bringing them into the media space.  The company has re-branded this group to Hibernia Media.  With services ideal for the financial industry - Hibernia’s Global Financial Network, for the streaming media/content industry – Hibernia Media and its wholesale carrier services via its leading transatlantic network, this is a company you will want to get to know – again.  Simply search for ‘Hibernia’ in the DealCenter to request a meeting.

Lexent Metro Connect- want to provide custom services and solutions in the New York Metro market?  Then this is the company you need to know.  Lexent Metro Connect constructs and operates its own dark fiber network throughout the NY Metro market.  It has the ability to build and design custom solutions ensuring the lowest latency through the shortest path.  Simply search for ‘Lexent’ in the DealCenter to request a meeting.

PacketExchange - This company has been quietly building an enhanced value global IP and Ethernet network based on its vast peering relationships and solutions.  In February 2010 the company acquired Mzima Networks, a provider of layer-2 Ethernet solutions throughout the US with reach to Asia and Europe.  With PacketExchange’s roots in Europe, the combined company has the ability to provide end-to-end bandwidth solutions to meet any growing network demand.  Simply search for ‘PacketExchange’ in the DealCenter to request a meeting.

Tinet Tinet, formerly the carrier arm of Tiscali Group, is the only global carrier exclusively committed to the IP and Ethernet wholesale market. With network presence and customers in EMEA, Americas and APAC, Tinet provides global IP Transit and Ethernet connectivity to Carriers, Service and Content Providers worldwide, within 7 working days. The carrier guarantees customers proactive management of SLAs and protection from dDoS attacks.  Simply search for ‘Tinet’ in the DealCenter to request a meeting.-

Of course these are Jaymie Scotto & Associates’ recommendations – there are many others to meet with as well.  You can download a list of all companies and attendees through the DealCenter – this way you can plan your meetings more effectively and ensure you get deals done.   And if you’re not going to ITW (a. you will be missed, b. still time to plan) you can request a meeting with these companies directly by visiting their websites.  Hope to see you in DC – May 24-26, 2010!  

Need help?  Want more information about ITW or these companies?  email: support@deal-center.com

DIDXchange will be at ITW at bilateral table A378, Hall A. See the complete list of exhibitors and sponsors at http://www.internationaltelecomsweek.com. Connect with the ITW Facebook business networking group now.