|[September 03, 2013]
CentralNic Begins Trading Its Shares on The London Stock Exchange's AIM Market
LONDON --(Business Wire)--
CentralNic Group PLC, the internet registry service provider which
derives revenues from the distribution and sale of internet domain
names, successfully began trading its shares on the London Stock
Exchange's AIM Market yesterday. A leading innovator in the domain name
industry, CentralNic has exclusive global contracts to supply retailers
such as GoDaddy and Web.com (News - Alert) with domains using 30 different endings
("extensions''), including .la (such as intel.la),.uk.com (such as
avon.uk.com) and .us.com (such as activia.us.com).
The Company raised �7m ($10.9m USD) from its IPO with leading
institutional investors Schroders Investment Management and Unicorn
Asset Management joining the shareholder register. The shares were
placed at 55p and rose 19% to 65.5p by the end of the first day's
trading, valuing the company at �38.7m ($60.2m USD). The admission to
AIM and strong trading performance was picked up by the UK business
press including the Financial Times (News - Alert) and The Times, which named
CentralNic's stock "Deal of the Day."
While already profitable and growing rapidly, CentralNic expects to
benefit from a major expansion in the number of generic Top-Level
Domains ("TLDs"). The Company has been awarded the exclusive global
registry service provision contracts for 60 new TLD applications, 25 of
which are already confirmd to launch, including: .college, .bar, .wiki,
.xyz, .rest, .contact, .feedback, .ink, and .PID.
CentralNic's clients include leading media and entertainment businesses
The Guardian and William Morris Endeavor, global 1000 companies Saudi
Telecom, Etisalat (News - Alert), Qatar Telecom, and Kuwait Finance House, as well as
entrepreneurs in the USA, Latin American, Europe and Asia. CentralNic's
clients are also contenders for additional TLDs including .app, .art,
.blog, .design, .gay, .golf, hotel, .law, .llc, .love, .mail, .now,
.school and .style, among many others.
Commenting on the Company's admission to AIM, Ben Crawford, CEO of
"We are extremely pleased to have successfully completed the IPO
process. The business is in a strong position to take advantage of
additional opportunities to develop our global domain distribution
business, and will benefit from having new quality shareholders to
support our strategy."
About CentralNic PLC
CentralNic PLC is a registry service provider, which derives revenues
from the sale of internet domain names. CentralNic Limited owns a very
valuable premium domain portfolio, and uses some of the domains such as
us.com as Second-Level Domain extensions. CentralNic uses its in-house
developed IT platform to distribute its own domain names and those of
third parties to a global network of retailers ("registrars"), which
sell these to end users.
Following recent industry developments and regulatory changes,
CentralNic Limited expects, by virtue of its contracts and technical
infrastructure, to benefit from a major expansion in the number of
generic top level domains ("gTLDs") such as .wiki and .college, expected
to operate from the end of 2013.
The Directors believe that the funds raised for the Group by the Placing
will allow the Group to enhance its global distribution network, acquire
interests in new gTLDs, expand its own retail business and obtain
contracts from governments to operate their country code TLDs
("ccTLDs"), especially in developing markets.
New Top Level Domains
In early 2012, the Governing Body ICANN (The Internet Corporation for
Assigned Names and Numbers) triggered the biggest change to the internet
since its inception, by opening the application process for a new round
of gTLDs, primarily to introduce more competition to the marketplace and
expand customer choice. This change will also enable brands,
corporations and governments to run their own domains.
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