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Transtel Intermedia S.A.

Transtel Intermedia Announces Extension of Private Offer to Exchange and Solicitation of Consents to February 6, 2009

Cali, Colombia (ots/PRNewswire)

Transtel Intermedia S.A. (the "Company") today announced that it
has extended the expiration of its (i) private offer to exchange, for
each US$100,000 of principal amount (excluding accrued but unpaid
interest) of its outstanding 12% Senior Notes due 2016 (the "Existing
Notes"), one of its units (the "New Units"), each New Unit consisting
of US$100,000 principal amount of its unissued Senior Secured
Amortizing Step-up Notes due 2016 (the "New Notes") and 100 warrants
to purchase shares of its common stock (the "New Warrants", and such
private offer to exchange being, the "Exchange Offer"), and (ii)
solicitation of consents to (a) delist the Existing Notes from the
Euro MTF, the alternative market of the Luxembourg Stock Exchange,
and (b) make certain amendments to the indenture governing the
Existing Notes, the security documents related to the Existing Notes,
certain other documentation related to the Existing Notes and the
warrant agreement governing the Company's warrants issued on May 17,
2006 (the "Consent Solicitation"). The Exchange Offer and Consent
Solicitation are now scheduled to expire at 5:00 p.m., New York City
time, on February 6, 2009, unless extended by the Company in its sole
discretion.
The Exchange Offer and Consent Solicitation are conditioned upon
at least 95% of the outstanding aggregate amount of the Existing
Notes being validly tendered and not withdrawn, which condition may
be waived by the Company in its sole discretion. As of 5:00 p.m., New
York City time, on January 30, 2009, the Company was advised by HSBC
Bank USA, National Association, the exchange agent, that an aggregate
principal amount of US$44.5 million of the Existing Notes had been
validly tendered.
Any questions on the Exchange Offer and Consent Solicitation may
be addressed to Morgan Stanley & Co. Incorporated, the dealer manager
and solicitation agent for the Exchange Offer and Consent
Solicitation, by calling U.S. toll free at (800)-624-1808 or calling
collect at +1-212-761-1864.
The information contained herein is not for publication or
distribution into the United States. This press release is for
informational purposes only. The New Units, New Notes, New Warrants
and the underlying shares of common stock have not been registered
under the U.S. Securities Act of 1933, as amended (the "Securities
Act"), or any state securities laws, and are only being offered to
(1) in the United States, qualified institutional buyers as defined
in Rule 144A under the Securities Act, in a private placement
transaction in reliance upon an exemption from the registration
requirements of the Securities Act and (2) outside the United States,
in compliance with Regulation S under the Securities Act. This press
release shall not constitute an offer to sell or a solicitation of an
offer to buy the New Units in the United States or in any
jurisdiction where the offer or sale is not permitted. Further, the
New Units, New Notes, New Warrants and the underlying shares of
common stock may not be sold in the United States absent registration
or an exemption from registration and any public offering of such
securities in the United States will be made by means of an offering
memorandum that may be obtained from the Company and that will
contain detailed information about the Company and its management, as
well as its financial statements.
The Company is a privately held fixed-line telecommunications
service provider operating in Colombia. As of September 30, 2008, the
Company provided telephone, internet and pay-television services to
286,413 subscribers. The Company initially established its business
by acquiring majority interests in underperforming telecommunications
companies that were owned and operated by local municipalities.
Following the acquisition of such companies, the Company designed and
implemented customized plans for the upgrade and expansion of each of
its acquired systems, which today comprise a fully digital,
fiber-optic network capable of providing a wide array of voice, data
and other media services, including broadband services.

Contact:

Guillermo O. Lopez, Chief Executive Officer, Transtel Intermedia
S.A., +57-2-680-8801

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