BRAZIL (July 2, 2002) -- Horizon Telecom International Inc. (Horizon), provider of the most advanced broadband network in Brazil, today announced its success in securing $12.0 million ($30M Reals) in convertible-debt financing from the BNDESpar. The BNDESpar is the Equity-investing arm of the Banco Nacional De Desenvolvimento Economico e Social (BNDES), the Brazilian Development Bank. The financing was denominated in Brazilian Reals, insulating Horizon from currency fluctuations in the Brazilian economy.
"This additional capital will afford the Company the funding flexibility to continue its network build-out at a reasonably aggressive pace," said Christopher Torto, CEO of Horizon. He added, "Securing this financing at a time when few companies were receiving capital from BNDES speaks volumes about the confidence the BNDES has in Horizon's future."
Horizon is the only licensed broadband services provider for 2 million homes and businesses in 37 cities in the states of Sao Paulo and Rio de Janeiro, as well as the city of Manaus, the leading economic center in northern Brazil. Horizon is deploying a broadband 870 MHz hybrid fiber-coaxial two-way interactive networks and currently provides cable and data services to more than 100,000 customers.
"Horizon's management team continues to deliver superior performance in a difficult operating environment," said John Hayes, managing partner of Great Hill Partners and chairman of Horizon's board of directors. "The Company's strong financial performance positions it to be self funding as it continues on a rapid growth and value creation trajectory."
About Great Hill Partners
Great Hill Partners is a private equity investment firm that specializes in data communications, IT services, telecommunications, media, information, education and business services companies. The firm has over $1 billion in capital under management from institutional investors including global commercial and investment banks, state and corporate pension funds, university endowments and private trusts. For more information, visitwww.greathillpartners.com.
