Company believes acquisition will give it a boost in Romania and Brazil.
Domain name company CentralNic (London AIM: CNIC) has acquired GlobeHosting Inc. for €2.56 million. €1.5 million was paid up front with anniversary payments over the next two years making up the difference.
GlobeHosting focuses on Romania and Brazil. It generated €849k in revenue for the twelve months ending July 31 and its EBITDA was €419k.
CentralNic believes the company is well positioned to benefit from changes in Romania’s .ro country code domain:
Romania’s country code, .RO, is undergoing significant adjustment from which GlobeHosting is expected to benefit, with imminent changes to its pricing structure involving all existing .RO users renewing their domains. Internet penetration in Romania is growing with an approximately four per cent increase in 2017. Currently approximately 60 per cent of Romania’s circa 20 million population uses the Internet.
Brazil is about to explode