GoDaddy buys Host Europe for €1,690 million to increase its domain in Europe

GoDaddy, one of the leading companies in the field of domains and web hosting is shopping. In addition to having bought wpcurve, one dedicated to WordPress services, to expand your , now GoDaddy buys Host Europe Group (HEG), its European rival. And it was not a cheap purchase…

GoDaddy buys Host Europe to expand its domain across Europe

The purchase from the private equity firm Cinven Ltdwill understand €605 million for the actions of Host Europe and €1.08 billion of debt assumed, according to the company.

The reasons why GoDaddy buys Host Europe Group are clear: expand its presence in Europe and continue its growth. HEG has 1.7 million customers throughout Europe, and has more than 7 million domains under his management.

The CEO of Host Europe, Patrick Plvermuellerwill remain with the company as head of GoDaddy’s European operations, according to Andrew Low Ah Keeexecutive vice president of GoDaddy International.

Host Europe is expected to end 2016 with a turnover of $328 million (almost 310 million euros) and $139 million (131 million euros) in adjusted EBITDA. The purchase price is equal to about 11 times its EBITDA adjusted estimate including integration with GoDaddy.

One Million UK Domains – The GoDaddy Brand

of course this alone will increase GoDaddy’s presence internationally, which is already quite large, especially in . Before this acquisition, the company registered its domain “one million” with .uk in the UK, and ensures that the 25% of Great Britain domains are now registered under the management of GoDaddy.

It’s so big that GoDaddy’s most recent quarter ended with about 14.5 million customers, currently managing more than 63 million domains. But it’s never much for such a large company. Regarding income, he declared in the last quarter 129.2 million dollars (nearly 122 million euros) in international revenues, which have increased by 21% year over year.

GoDaddy also expands its additional services

If all that weren’t enough, GoDaddy prides itself on generating revenue outside of domain registration and hosting. Their extra income comes from “presence and business applications” These are some additional services that the company offers to small businesses for optimization, online marketing and also offer online accounting. A whole range of services.

In addition to owning your , which is meant to get feedback on new business ideasand allows people who have a business idea to connect with others who can give them their opinion and advice.

If GoDaddy offers these additional services to the customer base that you will gain by purchasing HEG, it is possible to expand both their revenue and their presence in Europefaster than expected.

This acquisition is expected to close during the second quarter of 2017, and with this it will achieve its participation in 56 countries around the world. An entire planet to populate with domains.

Image:

Stay informed of the most relevant news on our news channel