AP
Website Pros to Buy Web.com
Wednesday June 27, 5:54 pm ET
Website Pros to Buy Web.com for $129M in Cash and Stock

NEW YORK (AP) -- Website Pros Inc., which designs and hosts Web sites, has agreed to buy rival Web.com Inc. for $129 million, a deal that will result in a company with annual revenue of over $117 million and over 234,000 paid subscribers.

Shareholders of Atlanta-based Web.com will receive either 0.6875 shares of Website Pros stock or $6.5233 in cash, the companies said late Tuesday.

Website Pros, of Jacksonville, Fla., will issue about 9 million shares and pay up to $25 million in cash. In addition, Website Pros will assume outstanding Web.com options.

Shares of Website Pros fell 54 cents, or 5.4 percent, to $9.47 on Wednesday, while Web.com shares rose 82 cents, or 15 percent, to $6.17.

David Brown will continue in his role as chairman and chief executive of Website Pros while Jeff Stibel, president and CEO of Web.com, will become president of Website Pros, in addition to joining its board.

Including Stibel, Web.com representatives will hold two of seven seats on the combined company's board.

The merger, which is subject to regulatory reviews and approvals, approval by the shareholders of both companies and other customary conditions, is expected to close during the second half of 2007.



Mail to Friend Email Story
Alerts Set News Alert
Printer
Version  Print Story 


Copyright © 2007 Yahoo! Inc. All rights reserved. Privacy Policy - Terms of Service
Copyright © 2007 The Associated Press. All rights reserved. The information contained in the AP News report may not be published, broadcast, rewritten, or redistributed without the prior written authority of The Associated Press.