Domainify Group acquired by Game Lounge, E-commerce acquisitions grow, Google to stop ads based on individual browsing history, and more

Domainify Group, a leader in domain affiliates, acquired by Game Lounge

FE International, Inc., the global market leader in mid-market technology mergers and acquisitions (M&A), announces the acquisition of Domainify Group by Game Lounge.

The acquisition includes three key assets from the Amai Group: BusinessNameGenerator.com, BizNameWiz.com and Domainify.com.

For over a decade, the Domainify Group has led the business name generation and domain marketplace niche. Now, its acquisition serves as a start to Game Lounge’s newly established division focused on the B2B market.

Mark Cambridge, owner of Amai, praised FE’s services. “For anyone looking to buy or sell a business, FE International should be at the top of your list. They made the process of selling the business stress free. Their communication and commitment to completing the deal was flawless, and they worked tirelessly to get the best outcome for both the buyer and myself,” Cambridge said.

Thomas Smale: E-commerce acquisitions on the rise in 2021 

Investors dramatically increased capital dedicated to e-commerce acquisitions in 2020, and the trend is set to continue in 2021, said Thomas Smale, CEO of FE International.

Last year, investors increased funding for these businesses from $1.3 billion to $5.8 billion, with acquisitions of companies selling on Amazon accounting for a majority of those deals.

Additionally, the increased flow of capital has raised the value of Amazon brands seeking to sell their businesses by 18-19% in the past year, on average. Smale also noted that profitable brands are attracting six to eight bidders.

Google to stop selling ads based on your browsing history

Starting next year, Google will no longer sell ads based on users’ individual browsing history, nor will it build tools that track such information.

The announcement follows one in January in which Google said it will remove third-party cookies from its Chrome browser. Combined, these moves will force many advertisers and websites to identify a new source of data tracking.

The news comes in response to recent attacks by lawmakers and prosecutors who argue that Google’s search and targeted advertising business violates users’ privacy rights. The company is currently facing three major antitrust lawsuits, for example, including a landmark case by the U.S. Department of Justice and a complaint by a bipartisan coalition of states.

The move may help Google avoid further scrutiny, although its implications are limited. For example, the changes only apply to websites and not mobile phones, where consumers spend a significant amount of time.

“As-a-service” business model here to stay, says Hewlett Packard

As companies prepare to return to the office, many will shift to a hybrid business model that relies on remote working and continued reliance on SaaS tools, said Antonio Neri, president and CEO of Hewlett Packard Enterprise (HPE), during the company’s first-quarter earnings call.

For HPE, demand for the remote data and consumption model led to the revenue run-rate for “as-a-service” growing by 26% year-over-year. This trend has cascaded, with middle-market SaaS businesses seeing significant growth as well.

Neri said that the company has also seen an acceleration in demand for access to data and analytics, along with a need to improve IT resiliency and “deploy the cloud everywhere.”

New Business For Sale

For sale is a B2B SaaS business in the Email Automation niche with over six years of operating history and a 4.5/5 star rating.

This business boasts c.1.2K paying users, generating an MRR of $26.8K and LTV of $730. With stellar third-party reviews and an experienced team staying on post-sale, a new owner has a solid foundation for success.

This business presents a great opportunity for a new owner to take over a low-touch, well-established B2B SaaS business with sustainable cash flows.

Some key highlights:

  • Firm foothold in the Email Automation niche with six years of operating history
  • Well-built B2B SaaS business with an impressive 4.5 star rating on the Chrome Web Store
  • Attractive SaaS metrics with an MRR of $26,800 and low MRR churn of c.3.6%
  • Minimal owner workload with a well-trained team staying on post-sale

Request a prospectus to learn more

For more updates throughout the week on the financial world of online business M&A, follow our team on Facebook, LinkedIn, Twitter, and Instagram.

OTHER FEATURED LISTINGS

Affiliate/Display Advertising – Men’s Grooming Tools Reviews – $4.6K Gross/Mo

  • Firmly positioned in the men’s grooming niche
  • Strong organic search presence with keyword rankings for c.52K keywords and robust backlink profile
  • Impressive volume of traffic with over c.1.6 million visitors and more than 2.3 million page views over the last twelve months
  • High and increasing ARPV of c.$0.045 over the last twelve months
    Minimal owner involvement

Yearly net profit: $66,000
Asking price: $161,000

Recurring Subscription Service – Graphic Design Productized Services – $82K MRR

  • Rapidly growing recurring subscription B2B business in the Graphic Design Services niche
  • Strong traffic profile, attracting over 500K pageviews in the LTM
  • Subscription metrics with a rising LTV of c.$11.6K and a rising MRR of c.$82K in January 2021
  • Highly impressive revenue growth at a CQGR of c.17% over the last eight quarters

Yearly net profit: $181,000
Asking price: $665,000

That’s all for this week. See you next week!

The FE International Team