CentralNic Group PLC (AIM:CNIC) said it has agreed to acquire Intellectual Property Management Company (IPMC), a California-based domain name management business for an enterprise value of US$7.6mln in cash.
IPMC provides subscription-based corporate domain management services to businesses including globally recognised brands such as Ocean Spray and Steinway, CentralNic said.
The business will be integrated into the enterprise channel within CentralNic's Online Presence segment and increase coverage and market share in America as well as generating synergies.
The price represents representing around 2.8 times 2021 unaudited revenue and around 7 times 2021 underlying profits (adjusted EBITDA), with the acquisition to be immediately earnings accretive, CentralNic said.
In a statement, Ben Crawford, CentralNic’s CEO, said: "Domain management to protect enterprise customers against cyber squatters is a strategic priority for CentralNic.
“IPMC has been entrusted with the protection of some of the finest brands in the world, which will now join more than 1,000 corporations and organisations that already rely on CentralNic's domain management suite of services."