Buyer for a shared hosting company in Northern Europe

• Revenue: 2-40 million EUR
• Employees: Not a decisive factor
• Valuation: 4-7x EBITDA
• Location of the target: Northern Europe (Scandinavia and Benelux)
• Reason for acquisition: The company is a shared hosting enterprise interested in increasing its operations through external growth. The managers responsible for acquisitions within the group are open to speaking to sellers from the hosting sector
• #CFIE ITB049

A shared hosting enterprise is looking for possible external growth for the business especially in domain names and shared hosting business. The management of this buyer is interested in seeing opportunities in Northern Europe in order to increase the company’s core activities by attracting external growth. The target company should have a solid structure, with revenues ranging from 2-40 million euros and should have a stable and sound portfolio of clients. Shared hosting companies and data centers are definitely of interest for this strong buyer that has a continuous focus on acquisition activity for which it holds the necessary funds to sustain valuable deals.

The company is a European group with more than 15 years of experience in the market employing more than 400 personnel with various technical backgrounds. The buyer became a market leader in hosting services for IT integrators, companies and software developers and is recognized as a very reliable host for all kinds of IT infrastructure, applications or website. The palette of services ranges from domain name registration, website hosting and e-mail to even developing integrated solutions customized to the client’s special needs. Besides guiding the client’s IT department in hosting infrastructure, the company also takes care of installation, maintenance, hardware, software, upgrades and security in a way that the client has nothing to worry about, so they can focus on their main business. The support accorded is 24/7, free of charge and in the customer’s own language. As for resources, the company has more than 4000 secure servers and is still investing in quality, security and availability (uptime) ensuring a network of ultramodern data centers that grant a good working IT infrastructure at transparent prices for the client.

Regarding the server offer, the company has 3 available packages. The first one refers to an OpenStack option, the client has at its disposal a flexible platform that guarantees complete freedom to build a server setup and full control over the server. In this case, the client must have technical knowledge so they can decide what to set up in the server in order to meet their needs. The second package is composed of a virtual private server (VPS) that enables the user to host a large website or many smaller websites. The client gets their own dedicated resources from a server. Using the Plesk control panel, the user can share their server according to their needs. The last package is tailored managed hosting offered to companies. The performance of this solution is excellent due to the latest technologies such as VMware and NetApp. All servers are protected by dedicated firewalls that keep hackers and malware away. The data centers are also protected against DDoS attacks, making the server resistant to such attacks as well.

The company is looking to acquire another company that operates in the same activity and has similar services such as:

• Domain names
• Web hosting
• Managed hosting
• Database hosting

• The buyer is a European shared hosting company
• The company has decided to grow its operations by making acquisitions
• Target companies should provide shared hosting services and should have a large number of clients