11th Aug 2021 21:43
(Alliance News) - Minds + Machines Group Ltd on Wednesday said it has completed the sale of its top-level domains and related assets and transferred its rights and obligations to Registry Services LLC, an affiliate of GoDaddy Inc.
The move follows an announcement in April, when Minds + Machines had agreed to sell most of its assets to GoDaddy for USD120 million in cash. Minds + Machines is selling because it expects limited opportunity for organic growth without fundamental changes, it said.
On Wednesday, the domain registry company said it has received USD113.8 million on completion of sale, plus adjustments for working capital that transferred with certain subsidiaries.
A further USD13.3 million was paid into escrow as final approvals for the transfer of the .miami and .boston domains remain pending. These two domains will automatically transfer when the approvals are received and a further USD1.4 million will be received by Minds + Machines from escrow at that time.
The remaining USD11.9 million will remain in escrow until the end of March 2022.
Following consultation with the company's major shareholders, it said a return of capital by way of a tender offer totalling USD80.0 million to be completed in early autumn to provide an initial return of the company's net assets to shareholders.
Minds + Machines shares closed 19% higher in London on Wednesday at 8.46 pence each.
By Evelina Grecenko; [email protected]
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