Company built on generic domain names continues string of major announcements.
Communicate.com (CMNN.ob) is changing its name to Live Current Media, Inc., the company announced today. A name change was hinted at during an interview with Kiplinger earlier this year.
The company also announced it has entered into an agreement to acquire Auctomatic, an early stage start-up funded by, among other investors, Y Combinator LLC. Auctomatic has developed commerce technology and tools that enable sellers to easily transact online through sites such as eBay. The acquisition is expected to close in May.
Communicate.com owns a number of premium domain names including Perfume.com and Cricket.com. Its goal is to turn these each into major online businesses.
Being a domain name company, Live Current was wise to snap up both LiveCurrent.com and LiveCurrentMedia.com. The latter is not forwarding to its site yet.
Live Current’s stock has been on a wild (and mostly positive) ride since the Kiplinger article. The stock opened the year at $2.00 and has been as high as $3.48. It closed yesterday at $2.69 per share.
I expect the company’s earnings to be lower in the short term as it prepares to launch into its next phase. It took Cricket.com offline (a smart move given possible legal issues with the domain showing mobile phone ads), and that domain was its biggest pay-per-click generator. But if the company can execute and develop sites like Brazil.com into major online destinations, it will be worth the near term investment.