GoDaddy To Purchase Main Street Hub For $125 Million

Web hosting company GoDaddy Inc. is acquiring Main Street Hub for roughly $125 million in cash and up to $50 million in potential future earnouts. The transaction, which brings together two firms that serve small businesses, will close late in the second quarter of this year.

Main Street Hub helps over 10,000 small business clients manage their social media engagement. GoDaddy provides cloud-based services to 17 million SMB customers.

Main Street Hub’s co-founders and co-CEOs, Matt Stuart and Andrew Allison, will assume leadership positions in GoDaddy’s Presence and Commerce business unit. Main Street Hub’s offices will remain in Austin, Texas.

GoDaddy has around 7,000 employees. Main Street Hub has approximately 500.

With this purchase, GoDaddy is building on its strategy of providing professional online services for small business owners.

Lauren Antonoff, SVP of presence and commerce for GoDaddy, states that “even with the right tools, customers struggle to find the time or know-how to effectively manage their social media presence.”

Main Street Hub provides teams of branding experts, including photographers, writers, designers and marketers, as well as technology to help SMBs manage marketing on Facebook, Instagram, Twitter, and Yelp. The company also creates email campaigns for clients.

GoDaddy is a cloud-based provider of web hosting and other services to small, independent businesses. In addition to providing professional email addresses to customers, the company today offers an DIY email solution for firms to create their own email marketing campaigns.

The acquisition will allow GoDaddy to offer a “complete suite” of do-it-for-me capabilities, the firm claims. 

Main Street Hub’s Stuart states that the two firms “complement each other strategically, culturally and across our products and services.”

The transaction, while approved by GoDaddy’s board of directors, is subject to the usual regulatory and other closing requirements. GoDaddy is listed on the New York Stock Exchange. 

Next story loading loading..