Sequence advise CentralNic plc on its proposed $55 million reverse takeover of KeyDrive SA
CentralNic is acquiring KeyDrive for an initial enterprise value of $44.5 million plus a performance based earn out of up to $10.5 million. The transaction represents a reverse takeover under the AIM rules and will be funded in part through a placing of £24 million. This complex cross-border transaction is the second acquisition that Sequence has advised CentralNic, following the successful €26 million acquisition of SK-NIC in 2017.
CentralNic is a London-based AIM-listed company which develops and manages software platforms allowing businesses globally to use the internet for their own websites and email, as well as protecting their brands online. CentralNic operates globally with customers in over 200 countries. It earns revenues from the worldwide sales of internet domain names and hosting on an annual subscription basis.
KeyDrive is a global technology business that operates in the domain name services industry. KeyDrive develops and operates software platforms used for selling subscription-based tools for businesses to operate online, including domain names, hosting, email, domain portfolio management and online advertising services. In the year to 31 December 2017, KeyDrive generated revenues of $58 million and adjusted EBITDA of $5.9 million.