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Web.com acquires Webcentral Group
G+T has advised Web.com on its acquisition of Webcentral Group.
Tony Zhang
Firms: Gilbert + Tobin (Web.com)
Value: Undisclosed.
Area: M&A
Key players: G+T corporate advisory partner Kevin Ko led the G+T team, with lawyers Wes Bainbridge, Syavie Ghamry and Rebecca Ching forming part of the core transaction team.
The team were also supported by specialists throughout the firm, including competition + regulation partner Simon Muys and lawyer Amelia McKellar.
Deal significance: The acquisition marks the end of the web hosting provider’s months-long strategic review, which started in September 2019.
The review involved the sale of multiple assets, including the sale of the Enterprise business (which retained the Arq Group name as part of the deal) for $35 million to Sydney-based investment firm Quadrant Private Equity, as well as rebranding to Webcentral on 26 June.
“After advising Web.com on its acquisition of Dreamscape Networks by scheme last year, we’re thrilled to be working with Web.com on this highly complementary acquisition which extends its strategic move into the Australian, New Zealand and [South-East] Asian markets,” Mr Ko said.
“We’re also pleased that our public M&A expertise will help our client execute this complex deal in a challenging environment.”
Webcentral (formerly known as Arq Group Limited) is an ASX-listed provider of online business services including internet domain name services, web hosting, and other digital marketing services.
Through its Netregistry, Melbourne IT and WME brands, Webcentral serves approximately 330,000 small and medium Australian businesses with domain names, web hosting and digital marketing customers.
Web.com’s proposal delivers cash certainty to Webcentral shareholders and is unanimously recommended by Webcentral’s board, in the absence of a superior proposal and subject to an independent expert concluding the scheme is in the best interests of Webcentral shareholders.
