(Alliance News) - Internet domain seller CentralNic Group PLC said Monday it acquired German peer Hexonet GmbH for up to EUR10 million.
CentralNic will pay an initial EUR7.0 million on completion, expected in July. The remaining EUR3.0 million will be payable in cash on the first anniversary of completion. The firm will fund the acquisition through its recent EUR50 million bond issue.
In 2018, Hexonet generated EUR800,000 in earnings before interest, taxes, depreciation and amortisation on revenue of EUR16.5 million. Over the same period, CentralNic generated GBP7.0 million in Ebitda on revenue of GBP42.7 million.
"We are delighted that the Hexonet reseller platform, expert staff and customers are becoming part of CentralNic, boosting not only our recurring revenues and profits, but also our market share and competitiveness," CentralNic Chief Executive Officer Ben Crawford said.
"Added to our existing capabilities, the Hexonet acquisition makes us the clear global leader, combining two of the most technically advanced global reseller platforms in the domain industry, and the formidable teams that built and run them", Crawford added.
The acquisition increased the number of domains under management by CentralNic by 28%.
Shares in CentralNic were 0.2% lower at 62.40 pence in London on Monday.
