Private equity firm Cinven has bought Anglo-German web hosting company
Host Europe Group from investment company Montagu Private Equity LLP. Statements from the two companies suggested the deal cost 438 million pounds ($668 million) - that's around twice Montagu paid for the company in October 2010. However, Host Europe Group's revenue has increased around 60% since that date and the company caters to around 1.5 million customers. Cinven suggested that the purchase was driven by the company's rapid growth.
Established in 1997, Uxbridge, England-based Host Europe Group has 600 employees offers a range of web hosting services, including managed hosting, cloud hosting, domain registration and Software-as-a-Service solutions. The company has a strong market presence in the UK, Germany, Austria, Switzerland and Spain. It is the largest virtualization provider in Europe and the United Kingdom's largest domain provider. Its brands include 123-reg, Heart Internet, Host Europe, Webfusion, Domainmonster, RedCoruna, Domainbox and Brand Fortress.
This is the sixth sale Montagu has made this year, alongside ghd, ADB, Unifeeder and Hansen Protection. The company has repaid investors 1 billion euros over the last 12 months.
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