PSINet Hires Adviser, May Consider Selling Company

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PSINet

(PSIX)

hired investment banking firm

Goldman Sachs

as the company considers various financial alternatives, including a possible sale of the company.

The company's board formed a special committee chaired by an independent director, Ralph J. Swett, to review and consider the alternatives.

PSINet, which is based in Ashburn, Va., offers e-commerce infrastructure and information technology products and services.

On Nov. 2, shares of PSINet plunged after the company offered a pessimistic

financial outlook while announcing that its third-quarter revenue had fallen short of estimates. That same day, the company said its president and chief operating officer had

resigned.

Shares of PSINet were recently trading up 34 cents, or 19.3%, to $2.13 in

Nasdaq

activity.