HispanicBusiness

MOUNTAIN VIEW, CA and BELLEVUE, WA -- (Marketwire) -- 01/22/13 -- Intermedia, a global leader in cloud services and the world's largest third-party Microsoft Exchange hosting provider, and Telanetix, Inc. (OTCQB: TNIX) (or "Telanetix" doing business as AccessLine™), a leading provider of cloud-based communications solutions, announced today that they have entered into a definitive merger agreement under which Intermedia will acquire Telanetix. The aggregate consideration to be paid by Intermedia will equal approximately $55 million, which amount includes the assumption of approximately $13 million in net debt and certain liabilities, and is subject to reduction for potential purchase price adjustments. Subject to such potential purchase price adjustments, it is currently estimated that each Telanetix common shareholder owning shares immediately prior to the transaction would be entitled to receive approximately $7.40 per share in cash.

This transaction was unanimously approved by a Special Committee of independent Telanetix directors, and was also approved by the Boards of Directors of Telanetix and Intermedia.

"This transaction enables us to further execute on our Office in the Cloud™ vision of an integrated suite of cloud services for small and medium-sized businesses and the channels that serve them," says Phil Koen, chairman and CEO of Intermedia. "With AccessLine, we are gaining an outstanding team of about 100 talented individuals with significant, successful experience developing and delivering next-generation hosted voice services that will meet the rapidly evolving communications needs of our customers and partners."

AccessLine provides cloud-based voice services, delivered primarily to the small and medium-sized business (SMB) market, over a scalable and highly efficient carrier-grade network. The company's key products, which are sold through its direct and indirect channels, include a cloud-based business VoIP phone service (hosted PBX), SIP trunking service, and modular cloud-based individualized services.

For the 12 months ended September 30, 2012, Telanetix reported Revenues and Adjusted EBITDA of $31.2 million and $4.8 million, respectively. For the three months ended September 30, 2012, Telanetix reported Revenues and Adjusted EBITDA of $8.0 million and $1.3 million, respectively, representing year-over-year growth of 10.4 percent and 116.8 percent, respectively.

"Intermedia has become a fast-growing, innovative, and market-leading cloud services platform provider," says Doug Johnson, CEO of Telanetix and AccessLine. "As such, this transaction will enable our 40,000 customers and partners to have access to an even broader suite of enterprise-grade cloud services, including hosted Exchange, cloud server, security, data management, and more. We expect that our customers and partners will also benefit from our greater operational, development, and financial resources enabling us to continue with our commitment to deliver services of the highest quality and reliability. And, we plan to continue the expansion of our cloud based voice products and feature set."