Siris Capital to acquire domain name and web presence company for $25 per share.
Web.com (NASDAQ:WEB), the parent company of domain name registrars Network Solutions and Register.com, has agreed to be acquired by an affiliate of Siris Capital Group in a $2 billion deal.
Shareholders will get $25.00 per share; shares closed yesterday at $23.20. It’s a 30% premium over the 90-day volume-weighted average price for Web.com shares.
Web.com may shop for a better offer between now and August 5. It expects the transaction to close in Q4.
Once the deal is completed, Web.com will be a private company no longer traded on the NASDAQ.
The company is going through a difficult transition that has caused its short-term numbers to dip. Going private will help the company avoid short-term efforts to appease investors.
Siris Capital has taken other companies private in similar deals, such as Polycom and Digital River.