Press Release B3G. 02 01 06 - Axa Private Equity

PRESS RELEASEAXA Private Equity, Société Centrale d’Investissements and PARTECH toinvest 16 million Euros in B3G TelecomAXA Private Equity, Société Centrale d’Investissements and Partech International invest 16 million Eurosand own shares in the telecommunications operator, European leader in Broadband Telephony. This fundraising operation gives B3G Telecom the means to accelerate its growth within France and Europe.Paris, the 10 th of January 2006 – European leader in Broadband Telephony, B3G Telecom announced today it has completed a16 million Euro fund raising operation with AXA Private Equity, chief underwriter of the operation, Société Centraled’Investissements (BNP Paribas Group) and Partech International. This financing will enable B3G Telecom, which made aturnover of nearly 60 million Euros in 2005, to accelerate its development in its two markets, enterprises and operators, inFrance and in Europe.Forerunner in Broadband Telephony services for the enterprise market, B3G Telecom has been investing for more than threeyears in developing its IP Centrex platform, and in designing and deploying its private, secured and end-to-end operated IPnetwork. “For almost 4 years, we completed the main bulk of investments in our core network on owners’ equity, notably tomanage end-to-end Quality of Service”, said Christophe Bach, co-President of B3G Telecom. “However, we frequently resizeour infrastructures to accommodate our rapid growth and we continue to invest in R&D to enrich our services offer and stayahead technologically and functionally”.Leveraging this innovative infrastructure and its public switching network, B3G Telecom offers a range of services answeringall enterprises’ telecom needs. “This fund raising will enable us to accelerate the development of our Enterprises activities inFrance and to fully benefit from the opportunity, for an innovating operator such as B3G Telecom, that derive from theextreme concentration of that market in France,” said Patrice Giami, co-president of B3G Telecom.In order to make the most of its technological advance, and to guarantee the local operational support that is essential insupplying enterprise telephony services, B3G Telecom has chosen an exclusively indirect distribution model in the enterprisemarket. “In order to support our distribution partners, we had to have the means to invest in a national commercial andoperational presence”, added Sofiane Ammar, General Manager of B3G Telecom’s Enterprises entity.Leader in its national market, characterised by a very widespread availability of general public IP telephony having favoureddemand in the enterprise market, B3G Telecom also has a strong opportunity in Europe. “We will be able to accentuate ourcommercial action at European level in the operators market, for which we offer white brand broadband telephony services.The French market is twelve to eighteen months ahead of numerous other large European markets and we have a reallyattractive offer for fixed or mobile services operators, as well as Internet players such as our client Skype”, confirmedNicolas Jeuffrain, General Manager of B3G Telecom’s Operators entity.This fund raising is one of the largest private financing operations carried out in 2005. It illustrates the strength andmaturity of French venture capital, which can significantly support the development of companies that are innovative(labelized by French Agency for Innovation Oseo-Anvar) and operationally strong.“We were convinced by B3G’s technological skills in the IP telephony and IP Centrex fields. Furthermore, the operationalreliability of services produced by B3G Telecom and its knowledge of the market are decisive competitive advantages in thisexpanding market”, added Luc Lechelle (AXA Private Equity).“The strength of the team and its head start in operational implementation of these extremely innovative technologies arethe main reasons that made us carry on this operation” said Jean-Jacques Bertrand (Groupe BNP Paribas).

“The IP Centrex market, and more generally IP Telephony, is extremely promising in Europe and North America. We hadalready invested in the USA in this field and were looking for an investment opportunity in Europe. After a quick marketstudy, it clearly appeared that B3G Telecom is the best positioned player in Europe”, explained Jean-Marc Patouillaud(Partech International).Consulting firm Lorentz, Deschamps & Associés advised B3G Telecom’s management for this operation.About B3G TelecomCreated in France in 2001, B3G Telecom is the leading European Broadband Telephony operator.B3G Telecom addresses key European telecom operators and telecommunication & multimedia professionals with a turn keywhite labelled VoIP offer and the French enterprise market with a fully operated and secured IP Telephony and IP Centrexoffer through an exclusive indirect channel distribution strategy.An innovative Telecommunication Operator with the label of the French Agency for Innovation Oseo-Anvar, B3G Telecom isheadquarted in Paris and has posted a turn-over of almost 60 ME in 2005.Operators ActivityAlready established in France, Italy, Great Britain, Belgium, Denmark, Bulgaria, Romania and Turkey, B3G Telecom is one ofEurope’s main players in the value added call termination wholesale market. B3G Telecom has amongst its customersnumerous key French and European TDM and VoIP operators such as: Colt, MCI, Cégétel, Tele2, Neuf Telecom, KPN, TelecomItalia, Telefonica, AT&T, Skype, etc.Moreover, B3G Telecom offers white label Broadband Telephony Services to telecom operators, ISPs, cable companies,regional operators and, generally speaking to telecommunication and multimedia professionals. This “wholesale” serviceoffer is modular and supports the main IP telephony protocols; it is design to integrate with B3G Telecom customers’production equipments, and to enable them to enrich their service portfolio. It is aimed both at consumer market actorsand at operators targeting the enterprise market.B3G Telecom has amongst its customers for this offer, companies such as StellaNet, NetUltra, Territoire Sans Fil, Axione, EDPand Pacwan.Enterprises ActivityIn order to answer all of the telecom needs of enterprises, B3G Telecom has designed a comprehensive service offerexclusively distributed via its partners’ network. Leveraging its technological expertise of Broadband Telephony, B3GTelecom offers today the telecom solutions of tomorrow.B-Initial is a Carrier Pre-selection offer which enables substantial savings very easily on the bulk of communications;B-Direct is a broadband telephone subscription service which enables large savings not only on telecommunications, butalso on subscription fees, without changes to the private telephone equipments of the company.B-Centrex is a comprehensive IP Centrex offer, encompassing all the classical PABX functionalities as well as Telephony/ITconvergence features; B-Centrex enables substantial savings on the bulk of the enterprise telephony budget(communications, subscription fee and switchboard).B-Specific is a bespoke voice/data convergence service offer, answering multiple-sites enterprise complex voice/datatelecom needs (broadband telephony, IP-VPNs, teleworkers, field employees, etc.).B3G Telecom‘s distribution partners are retailers and brokers and are all enterprise telecommunications professionals:telecom integrators, private fitters, data integrators, “switchless” operators, VoIP specialists, etc.Contact B3G TelecomPR Agency : GopublicChristel Boyer - +33 1 40 20 12 42cboyer@gopublic.frAbout AXA Private EquityAXA Private Equity is a subsidiary of AXA Investment Managers, with offices in Paris, Frankfurt, London, New York andSingapore. It focuses on investments in unlisted companies and its expertise spans all types of Private Equity (LBO, venture,capital development, funds from primary or secondary funds). AXA Private Equity independently manages and/or advisesPrivate Equity funds with combined assets in excess of 7 billion for some of the world’s leading investors. With a constantfocus on transparency, performance and sustainable profitability, AXA Private Equity is supported by the expertise of itsstaff and its international experience.

The Venture activity has been developed since 1998 using its different offices. It assists companies at all stages of theirdevelopment, by offering an active partnership to accelerate growth and profits.More than 40 companies with strong technological expertise trust the Venture team at AXA Private Equity in the InformationTechnologies and Science of Life fields.Contact AXA Private EquitySylvie Deneubourgsylvie.deneubourg@axa-im.com20, Place Vendôme75001 ParisTel : +33 1 44 45 92 20www.axaprivateequity.frAbout Société Centrale d’InvestissementsSociété Centrale d’Investissements is an investment holding company of BNP Paribas Group. BNP Paribas which hassignificant investment in private equity, was holding a private equity invesment portfolio worth 4.2 billion euros on the 30 thof September 2005.Contact Société Centrale d’InvestissementsClaire Gawerclaire.gawer@bnpparibas.comTél. : +33 1 40 14 60 83About Partech InternationalFounded in 1982, Partech International is a leading global venture capital firm with $850M under active management andoffices in the U.S., Europe and Israel. Partech invests exclusively in Information Technology and the firm’s internationallyintegrated team of investing partners work together closely to find the most innovative companies demonstrating highreturn potential and disruptive technologies in the Software & Internet, Communications & Components and Healthcare ITsectors. Partech has a unique 20+ year track record assisting its portfolio companies to become global market leaders. Someof Partech’s successful investments include: Ascend Communications, Alvarion, Business Objects, Cadence, CSG Systems,Digital Island, Informatica, Pentasafe and Vignette.Contact Partech InternationalIsabelle Jahn et Diane VinetTel: +33 1 47 49 69 95info@le-savoirdire.comwww.partechvc.comName:Media:Title:Address:Tel :Fax :e-mail :I wish to get in touch with: Patrice GIAMI, B3G Telecom President & COO Luc Lechelle, AXA Private Equity Jean-Jacques Bertrand, Groupe BNP Paribas Jean-Marc Patouillaud, Partech International