The largest domain registrar and web hosting company GoDaddy has been bought for a hefty $2.25 billion to private equity firms KKR, Silver Lake Partners and Technology Crossover Ventures. The buyout comes after the announcement by ICANN to reduce restrictions on domain names a few weeks ago.
“I’ve always said we would make a move like this when the right deal with the right partners could help us do the right thing for our customers and our employees,” CEO and founder Bob Parsons said in a statement.
“This is it! We are partnering with KKR, Silver Lake and TCV because of their technology expertise, their understanding of Web based businesses and because their values align with ours. We believe, together, we will take the company to the next level, especially when it comes to accelerating international growth.”
The company is seeing massive growth, with sales growing by 25% to US$947 million between 2009 and 2010, according to the Los Angeles Times. It’s position is thanks to heavy advertising with bikini-clad women – dubbed the “GoDaddy Girls” airing during the Super Bowl.
GoDaddy’s new owners aren’t strangers to the technology field, with Silver Lake’s former property Skype was sold to Microsoft for a big US$8.5 billion. Maybe GoDaddy is trying to find a way to be bought by another company within a few years – or even possibly attempt to start an IPO (it was going to do so in 2006 – but never eventuated).