One Equity Partners acquires Westcom, leading global providor of network services to the financial community
NEW YORK, NEW YORK (February 7, 2005) – One Equity Partners (OEP), one of the private equity arms of JP Morgan Chase & Co., announced today it has acquired WestCom Corporation, a US based private telecommunications company that provides network services to over 1200 firms within the financial industry. Chief Executive Officer and Founder Michael Hirtenstein will continue to help guide the growth of the company as a leader in connecting trading firms around the world.
WestCom's network supports mission-critical and latency-sensitive applications including trader voice services for leading North American and European financial institutions. WestCom’s high quality, high-speed voice solutions connect local, national and international trading rooms around the world. Earlier this year, WestCom announced it had acquired Radianz Voice Services from Radianz, a Reuters company. This acquisition accelerated WestCom's expansion of its existing voice service offering into Europe and Asia.
“We are very pleased to provide the backing and support WestCom requires to take their business to the next level,” said David Walsh, Partner at OEP. “Michael has done an outstanding job developing WestCom from an idea to an industry leader in only 14 years”.
"We acquired WestCom because they had the best customer service in the industry and we wanted to expand their on-net presence," said Chuck Auster, also a Partner at OEP. "More and more customers will grow to appreciate their unmatched 24 hour turn-up service for new trader voice lines between clients. The resources of OEP will, in addition, enable WestCom to explore exciting opportunities to provide additional services and take advantage of a wider range of technologies including VoIP."
“This acquisition is good for our customers and good for our employees,” Hirtenstein said. “OEP knows this business and they know why WestCom is unique. With OEP as a partner, the company will continue to offer the best value, fastest provisioning times and most responsive and reliable customer care in the industry. We understand what financial institutions and their trading partners require, and will continue to take pride in continually raising the competitive bar with our unique online tools and expanding the size and value of our network footprint.”
OEP acquired the majority share in WestCom. Bank of America Capital Investors also took an equity position in the company, with Hirtenstein retaining a significant ownership stake.
WestCom Corporation is a US based private telecommunications company that provides point-to-point dedicated bandwidth to over 1200 firms within the financial industry. Our Cross Connect eXpress (CCX) service enables our customers to turn up new trader voice lines within 24 hours to participating financial institutions. Our network service reach extends to over 200 cities in 20 countries. WestCom offers a variety of products ranging from trader voice ring down service, multiple-point hoot 'n holler networks to point-to-point data services. Our comprehensive knowledge of the financial industry is what differentiates us from other providers.
WestCom Corporation headquartered in New York City has affiliated offices in London, Chicago, San Francisco, Houston and South Carolina.
For more information, please visit www.westcom.com.
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Established in 2001, OEP manages over $2 billion of investments and commitments for JPMorgan Chase & Co. OEP typically invests $50 million to $200 million per transaction in management-led buyouts, growth capital financings and corporate divestitures. With a growing staff of experienced professionals in the private equity market, the group has offices in New York, Chicago and Frankfurt.
For more information, please visit www.oneequity.com