GoDaddy makes technology acquisition for an estimated $70 million
Website domain company GoDaddy announced earlier this week that it will acquire the San Francisco-based firm Locu. Financial details of the M&A activity have not yet been released, but AllThingsD reported that it is likely near $70 million.
The technology acquisition will help strengthen GoDaddy's offerings to small businesses online. Locu helps companies move their data into more structured formats, which allows them to then promote and share it with other entities via Locu's platform.
According to Locu's website, this information can be published through sites including Yelp, TripAdvisor and Facebook. Essentially, businesses can ensure that their products and services are advertised through proper platforms in a convenient and accessible way for customers to find. Restaurants, spas, salons and accounting firms are just some of the types of organizations that currently use Locu's service.
GoDaddy CEO Blake Irving said in a company press release that Locu epitomizes what his organization is all about, which is why the technology acquisition made sense. For example, the two firms are determined to help the "little guy" find internet success.
"Locu is comprised of amazing technologists who have taken the very complex problem of helping small businesses 'get found' wherever consumers are looking and are solving it through elegant, technology-based services," he said. "We are welcoming some of the brightest technology minds on the planet to our GoDaddy family."
Locu CEO and founder Rene Reinsberg told AllThingsD that a partnership with GoDaddy will help fuel Locu's growth. He explained that his company has a good concept of small business' digital identity, which helps those firms control their information on the internet.