1. This site uses cookies. By continuing to use this site, you are agreeing to our use of cookies. Learn More.

WOW HostGator Sold for $225 Million - Not bad!

Discussion in 'Affiliate Programs' started by Kosher1, Jul 11, 2012.

  1. Kosher1

    Kosher1 Power Member

    Joined:
    Oct 22, 2009
    Messages:
    714
    Likes Received:
    387
    Just read this:

    According to reports, Mr. Hari Ravichandran, CEO of EIG, offerd $225 million to Hostgator CEO, Brent Oxley and he accepted. This news came out as a shock for Hostgator users and people are already discussing about the same in Webhosting forum.

    The major hosting giant HostGator has been sold. According to the sources HostGator has been sold to EIG [Endurance International Group]. The deal is already signed however there is no specific reason mentioned for it. This is a major occurrence in the web hosting industry. EIG is a group of web hosting companies and over a period of time they have acquired many prominent web hosting companies. Among the arena of web hosting companies, EIG also has HostGator now.

    It is believed that an amount of $225 Million USD was offered to HostGator owner, Brent Oxley and the deal was accepted by him. The process of transfer of ownership is still in process. Previously, EIG has acquired a lot of big web hosting companies. In terms of the acquired web hosting companies, the effect of this step was the loss of customer base. As EIG transfers all the account to their data center, the customers experience downtime at regular intervals and thereby the customer base is lost. The outcome of the deal between EIG and HostGator is unknown however considering the effects on the prior web hosting companies acquired, there will surely be a major impact on the web presence, brand awareness and customer base of HostGator. HostGator currently has over 400,000 customers globally, there is a big question as to how EIG will be able to mange the HostGator setup.
     
    • Thanks Thanks x 8
  2. refjaf55

    refjaf55 Regular Member

    Joined:
    Jul 21, 2010
    Messages:
    299
    Likes Received:
    122
    I'm worried. I hope they don't start to suck now.
     
    • Thanks Thanks x 2
  3. CoyoteAssassin

    CoyoteAssassin Elite Member

    Joined:
    Jan 3, 2010
    Messages:
    1,862
    Likes Received:
    3,906
    Occupation:
    Full Time IMer
    Location:
    USA
    I have been an affiliate with EIG in the past and they have a great program.

    EIG websites and HostGator do not use the same platform. It will be interesting to see how much they change.
     
  4. C@MEL

    C@MEL Regular Member

    Joined:
    Jul 9, 2012
    Messages:
    325
    Likes Received:
    101
    Wtf! I hope they still let me do there affiliate xD
     
  5. JoanManuelH

    JoanManuelH Newbie

    Joined:
    Jun 26, 2012
    Messages:
    17
    Likes Received:
    5
    wow! I hope everything stays the same
     
    • Thanks Thanks x 1
  6. extremeboy

    extremeboy Jr. VIP Jr. VIP

    Joined:
    Jul 8, 2010
    Messages:
    2,993
    Likes Received:
    648
    Occupation:
    World Best RANK Tracker SERPCloud.com
    Home Page:
    I don't think it's fair value of $225 millions for Hostgator strange that they accepted?
     
  7. meathead1234

    meathead1234 Moderator Staff Member Moderator Premium Member

    Joined:
    Sep 24, 2008
    Messages:
    3,816
    Likes Received:
    13,933
    Why is that not a "fair" value? Have you seen their audited accounts or know something we don't?
     
    • Thanks Thanks x 7
  8. digdigdug

    digdigdug Junior Member

    Joined:
    May 23, 2016
    Messages:
    163
    Likes Received:
    1
    Gender:
    Male
    Hostgator is great, hopefully they will not become greedy and start raising their prices.
     
    • Thanks Thanks x 1
  9. Theodore

    Theodore Power Member

    Joined:
    Oct 13, 2009
    Messages:
    679
    Likes Received:
    266
    I would of thought it would of sold for more myself but i guess i made them out to be more popular then they were :p. I just hope they don't ruin the service or raise the prices.
     
  10. squidkai1

    squidkai1 Junior Member

    Joined:
    Mar 11, 2012
    Messages:
    156
    Likes Received:
    72
    I think that is why they are saying it's a shock cause of how cheap it sold for.

    But then again, it only has a revenue of about $35 million a year. Maybe he just wanted to take the money and invest else where.
     
  11. niceness8000

    niceness8000 Registered Member

    Joined:
    Jul 3, 2012
    Messages:
    56
    Likes Received:
    5
    Occupation:
    start-up internet marketer
    Location:
    Tampa, Florida
    I have hostgator too. I'm not to worried about big changes right away. It said that hostgator had 400,000 users globally. I would have thought that would have had millions of users. If it's true that that have 400,000 then maybe 225 mil is closer to where they should be selling. I don't expect services and prices to make drastic changes right away. that's the best way to chase off the customers that are already expecting the worse . . .
     
  12. Intruder

    Intruder Regular Member

    Joined:
    Jun 3, 2012
    Messages:
    334
    Likes Received:
    206
    Hmmm... thats why they started a web hosting company in India with a in extension...
     
  13. DeathWisher

    DeathWisher BANNED BANNED

    Joined:
    Jul 11, 2012
    Messages:
    32
    Likes Received:
    3
    OMG! :wacko:
     
  14. santhu

    santhu Power Member

    Joined:
    Jan 2, 2012
    Messages:
    547
    Likes Received:
    447
    Occupation:
    Self-Employed Interenet Marketer......
    Location:
    India
    I too using hostgator.it was a shock to hear.lets see what happens
     
    • Thanks Thanks x 1
  15. Checkered hat

    Checkered hat Junior Member

    Joined:
    Dec 23, 2011
    Messages:
    122
    Likes Received:
    167
    I'm so glad I'm not hostgator user :) One can just chill and enjoy the show.
     
  16. Kosher1

    Kosher1 Power Member

    Joined:
    Oct 22, 2009
    Messages:
    714
    Likes Received:
    387
    I think they will just make it a better place. :)


    Life is too short for anger!
     
  17. xFBxx

    xFBxx BANNED BANNED

    Joined:
    Apr 20, 2012
    Messages:
    263
    Likes Received:
    530
    Anyone think there will be any problems with our accounts?
     
    • Thanks Thanks x 1
  18. lanbo

    lanbo Jr. VIP Jr. VIP Premium Member

    Joined:
    Aug 23, 2009
    Messages:
    3,433
    Likes Received:
    595
    Home Page:
    My sites better not go down..
     
    • Thanks Thanks x 1
  19. Leith

    Leith Jr. Executive VIP Jr. VIP Premium Member

    Joined:
    Oct 30, 2011
    Messages:
    5,379
    Likes Received:
    8,565
    I actually think they could improve it. And the price they got seems pretty fair to me.
     
  20. confined

    confined Regular Member

    Joined:
    Jan 4, 2009
    Messages:
    216
    Likes Received:
    91
    400k customers globally. if each one merely had their $10/mo hosting that would be about $4mil a month in revenue. $48million a year. This was a steal.

    Most likely many customers also have domains and other add ons from hostgator. The price is actually baffling.

    I would be worried if I had properties on HG's infrastructure.