(WEB HOST INDUSTRY REVIEW) — The web services division of Deluxe Corporation (www.deluxe.com), Hostopia (www.hostopia.com) has signed a definitive agreement to purchase certain shared web services customer assets from web host Aplus.net (www.aplus.net), and it has also completed the purchase of the search engine marketing firm MerchEngines (www.merchengines.com).
According to Deluxe’s Thursday announcement, the two acquisitions, worth a combined $30 million, will expand small business web services customer base and raise second quarter earnings estimates. Upon closing, the Aplus.net transaction will add more than 80,000 shared web hosting, e-commerce, email services, domains and website management applications customers to the Deluxe customer base.
“Within weeks of closing, Aplus.net’s shared hosting customers will see a service upgrade offering numerous new and enhanced web services including: mobile messaging, logo design, social networking for business, e-commerce, website design, email marketing, and other promotional materials that help small businesses get and keep customers,” Hostopia president Colin Campbell said in a statement.
Aplus.net said the sale of its SMB assets will let it focus on its managed hosting for medium-to-large enterprises. The Aplus.net transaction is expected to close by the end of July.
Hostopia’s other acquisition, MerchEngines, will let it offer new and more robust SEM capabilities to small businesses, letting them acquire new customers by generating visitors to their websites.
“Many small business owners want to grow online, they just don’t have the expertise to do it themselves,” Campbell said. “By adding MerchEngines’ SEM expertise, Hostopia now offers our partners and customers a complete, easy-to-use and cost-effective Web solution–one that levels the playing field for small business owners by providing SEM services that historically have been only available to larger companies or enterprise advertisers.”
