TERAYON COMMUNICATION SYSTEMS: Terayon announces initial public offering.

M2 PRESSWIRE-19 August 1998-TERAYON COMMUNICATION SYSTEMS: Terayon announces initial public offering (C)1994-98 M2 COMMUNICATIONS LTD

RDATE:180898

Terayon Communication Systems, Inc. (NASDAQ: TERN), has announced an initial public offering of 3,000,000 shares of Common Stock at an initial public offering price of $13.00 per share. The offering is made through an underwriting group managed by BT Alex. Brown Incorporated, Hambrecht & Quist LLC, Lehman Brothers, and Salomon Smith Barney.

Terayon Communication Systems produces cable modem access systems to allow cable television operators to deliver high-speed, two-way data and telephony services to their subscribers. Terayon's systems are based on S-CDMA (Synchronous Code Division Multiple Access) technology, which is an architecture for high-capacity and reliable communication over cable. Terayon's access systems support a broad range of interactive services from residential Internet access to data and telephony services for business.

A copy of the prospectus is available from BT Alex. Brown Incorporated, 1 South Street, Baltimore, MD 21202, 410-727-1700; Hambrecht & Quist LLC, One Bush Street, San Francisco, CA 94104, 415-439-3300; Lehman Brothers, 3 World Financial Center, New York, NY 10285, 212-256-7000; Salomon Smith Barney, 390 Greenwich Street, New York, NY 10048, 212-816-6000.

Note: Terayon, the Terayon logo, TeraPro, TeraLink, TeraView, and TeraComm are trademarks of Terayon Communication Systems. All other trademarks are the property of their respective owners.

CONTACT: Helen Banyard/Karl Blockwell, Johnson King Limited Tel: +44 (0)171 357 7799 e-mail: helenb@johnsonking.co.uk e-mail: karlb@johnsonking.co.uk

*M2 COMMUNICATIONS DISCLAIMS ALL LIABILITY FOR INFORMATION PROVIDED WITHIN M2 PRESSWIRE. DATA SUPPLIED BY NAMED PARTY/PARTIES.*