Business
CentralNic acquires Ideegeo Group Ltd
CentralNic acquires Ideegeo Group Ltd.
About this update from Team Internet Group Plc
[{"type":"text","content":"\n \nRNS Number : 2089I CentralNic Group PLC 07 August 2019 \n\n \n7 August 2019\n \nCentralNic Group plc\n(\"CentralNic\" or the \"Company\" or the \"Group\")\n \nCentralNic Group plc acquires the international domain name retailer \nIdeegeo Group Ltd (\"Ideegeo\") for up to NZD$5.2 million (c.$3.4m USD)\n \nCentralNic Group PLC (AIM: CNIC), the global internet platform that derives revenue from the subscription sales of domain names and other ancillary services, announces it has completed the acquisition of the entire share capital of Ideegeo Group Limited (the \"Acquisition\"), a privately owned domain name retailer serving an international customer base from New Zealand (\"Ideegeo\"). The purchase price is $5.2 million NZD (c.$3.4m USD), of which $520,000 NZD (c.$0.3m USD) constitutes a deferred payment, held in escrow until May 2021.\n \nThe acquisition is both strategic and earnings accretive to CentralNic. Ideegeo is operator of the retail website iwantmyname.com - a leading innovator in the application of User Centered Design to the retailing of domain names with 180,000 domains under management. The Company intends to deploy the design solutions developed by Ideegeo across its retail websites, noting that high usability is particularly ideal for customers in emerging economies, which is a key target market for CentralNic. The Company is retaining the staff of Ideegeo and appointing one of Ideegeo's founders as Customer Engagement Product Planner and Manager across its retail brands. \n \nIdeegeo is one of the largest customers of Hexonet, recently acquired by CentralNic as announced on 1 July 2019. The Acquisition is therefore expected to deliver operational cost savings through vertical integration as well as permanently locking in an important revenue stream for CentralNic. Finally, as Ideegeo currently only sells domain names, CentralNic believes that there are cross selling opportunities to provide Ideegeo's 80,000 customers with CentralNic's extended product offering, including hosting, SSL certificates and other additional subscription products and services.\n \nIdeegeo sells domain name subscriptions directly to small business customers, with a high level of recurring revenues and excellent customer retention. For the financial year ended 31 March 2...