Reliance Buys Yipes

MUMBAI, India and SAN FRANCISCO -- Reliance Communications Limited today announced the signing of a definitive agreement to acquire U.S.-based Yipes Holdings, Inc., the leading provider of managed Ethernet services.

(Editorial Note: John Scanlon, president and CEO of Yipes and Promod Haque, managing partner of Norwest Venture Partners will be available to discuss the strategic significance of the acquisition starting at 9:30 a.m. EST. If you are interested in a telebriefing, please contact Kristin Kiltz at 510-748-8200 ext. 204, or 925-899-1367).

Anil D. Ambani, Chairman of Reliance Communications, said: This is the largest acquisition that Reliance Communications has ever made. The acquisition of Yipes drives forward our strategy to offer the most sophisticated, cutting-edge data communication products and services, specializing in application and content distribution, spanning developed and emerging markets. We see enormous potential to rapidly expand Yipes’ coverage in the U.S. and to globalize Yipes service by leveraging our customer relationships and network reach around the globe. We confidently expect this acquisition to significantly enhance the growth rate, profitability and returns of our global data business.”

Reliance Communications Ltd. (RCom)