Internap Completes Acquisition of VitalStream

Feb 23, 2007


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Internap Network Services Corporation, and VitalStream Holdings, Inc. have announced that each company's respective stockholders provided the approvals necessary to complete Internap's acquisition of VitalStream and that the transaction has been completed. The acquisition is designed to allow Internap to facilitate the growth of VitalStream's global platform, designed to enable the delivery of rich media and includes streaming audio and video services. The addition of VitalStream's content monetization and advertising solutions also enhances Internap's portfolio of IP and data center services.

Based on the preliminary tally of shares voted at a special meeting of Internap stockholders, approximately 99.90% of the shares of Internap common stock present and voting at the special meeting (in person or by proxy) voted in favor of Internap's issuance to VitalStream's stockholders of approximately 12.2 million shares of Internap's common stock in connection with the transaction. The number of shares that voted to approve the issuance of shares of Internap's common stock represents approximately 61.42% of the total number of shares of Internap common stock outstanding and entitled to vote as of December 29, 2006, the record date for the special meeting.

Based on the preliminary tally of shares voted at a special meeting of VitalStream stockholders, approximately 99.95% of the shares of VitalStream common stock present and voting at the special meeting (in person or by proxy) voted in favor of VitalStream's merger with Internap. The number of shares that voted to approve the merger represents approximately 74.58% of the total number of shares of VitalStream common stock outstanding and entitled to vote as of December 29, 2006, the record date for the special meeting. Internap has approximately 450 employees, including a direct sales team of 135 with experience re-selling CDN and streaming media services.

(www.internap.com)