PEER 1 Network Enterprises, Inc. announces intention to commence Normal Course Issuer Bid

VANCOUVER, May 9, 2012 /CNW/ - PEER 1 Network Enterprises, Inc. (TSX:PIX), operating as PEER 1 Hosting, a leading provider of online IT infrastructure, announced today that it has received approval from the Toronto Stock Exchange (the "TSX") of a Notice of Intention to commence a Normal Course Issuer Bid through the facilities of the exchange.  The Normal Course Issuer Bid will permit PEER 1 to repurchase for cancellation up to 3,112,406 of its common shares, being 2.5% of PEER 1's issued and outstanding common shares (as at May 8, 2012).  PEER 1 had 124,496,266 common shares issued and outstanding as at May 9, 2012.  The average daily trading volume of PEER 1's common shares for the period between November 1, 2011 and April 30, 2012 was 33,864 common shares.  In accordance with the rules of the TSX, the maximum number of common shares that can be purchased on a daily basis by PEER 1 is 8,466 common shares, subject to the block purchase exception.

The board of directors of PEER 1 believes that market prices of the Company's common shares may not fully reflect the value of its business and future business prospects, that current market conditions may provide opportunities for PEER 1 to acquire common shares at attractive prices and that the purchases are an appropriate use of funds and will enhance shareholder value.

PEER 1 previously commenced a Normal Course Issuer Bid on May 16, 2011 (the "2011 NCIB"), which will expire on May 15, 2012.  At present, PEER 1 has not made any purchases under the 2011 NCIB.  PEER 1's 2012 Normal Course Issuer Bid will commence on May 16, 2012 and it will run until the earlier of the date on which purchases under the bid have been completed, the date on which PEER 1 terminates the bid, and May 15, 2013.

About PEER 1 Hosting

PEER 1 Hosting is one of the world's leading IT hosting providers. The company is built on two obsessions: Ping & People. Ping, represents its commitment to best-in-breed technology, founded on a high performance 10Gbps FastFiber Network™ connected by 18 state-of-the-art datacenters, 22 points-of-presence and 10 colocation facilities throughout North America and Europe.  People, represents its commitment to delivering outstanding customer service to its more than 10,000 customers worldwide, backed by a 100 percent uptime guarantee and 24x7x365 FirstCall Support™. Info-Tech Research Group recently named PEER 1 Hosting as a "Champion" in its Canadian colocation and managed services Vendor Landscape report, recognizing the company's strength in product offerings and enterprise strategy in the global IT marketplace. PEER 1 Hosting's portfolio includes Managed Hosting, Dedicated Servers under the ServerBeach brand, Colocation and Cloud Services under the Zunicore brand. Founded in 1999, the company is headquartered in Vancouver, Canada, with European operations headquartered in Southampton, UK. PEER 1 Hosting shares are traded on the TSX under the symbol PIX. For more information visit: www.peer1.com or www.peer1hosting.co.uk.

Forward Looking Statements

Statements in this release relating to matters that are not historical fact are forward-looking statements based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially.  Factors that could cause or contribute to such differences include, but are not limited to, general economic conditions, changes in technology, reliance on third party manufacturing, managing rapid growth, global sales risks, limited intellectual property protection and other risks and uncertainties described in PEER 1 Hosting's public filings with securities regulatory authorities.

For investor inquiries please contact:
Nick Hurst
The Equicom Group
[phone]
[e-mail] 

For media inquiries please contact:
Marcela Peake
PEER 1
[phone]
[email protected]