Web Hosting Provider Hostopia.com Inc. Files for Initial Public Offering

July 6, 2006 – (HOSTSEARCH.COM) – Web hosting provider Hostopia.com Inc. (http://www.hostopia.com) has announced that it has filed for an Initial Public Offering of common shares with the U.S. Securities and Exchange Commission and securities regulatory authorities in Canada. Underwriting for the offering will be led by RBC Capital Markets.

In its filing the Toronto-based company stated that as a company it sells services on a wholesale basis to companies (such as telcos) who resell their services under their own brand. Such companies include Bell Canada, Telus Communications and Verizon.

Hostopia stated in its initial public offering documents that it “develops, manages, and distributes Internet applications used by small and medium sized businesses”. The company’s services include web hosting, managed email, and ecommerce alongside other online business applications. The company also stated its approach has won it a customer base of 210,000 users for a range of services that bring in annual revenues of $18 million.

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