Cinven's Host Europe buys domainfactory

The completion of the deal is subject to customary regulatory approvals.

Host Europe's acquisition of domainfactory increases the group's presence in the German mass hosting market, which now has close to 400,000 customers and is managing in excess of 2 million domains.

This is Host Europe's second acquisition in recent months, following its purchase of Telefónica Germany Online Services, an enterprise managed hosting provider, from Telefónica Deutschland in September. The two companies then merged their services, operating under the name Host Europe Group.

Founded in 1997 and headquartered in the UK, Host Europe provides hosting and domain services to small and medium-sized enterprises, with approximately 600 employees. The group has a market presence in the UK, Germany, Austria, Switzerland and Spain.

Cinven acquired Host Europe Group from Montagu Private Equity for £438m in July 2013. Cinven is investing from its fifth fund, which closed on €5.3bn in May.

Company
Based in Ismaning, domainfactory is a German web hosting company catering to private and business customers.

The company currently manages 1.1 million domains and serves close to 173,000 customers, mainly in the small- to mid-cap and private professional market segments.

People
Thomas Vollrath is the CEO of Host Europe Group. Sara Marburg and Jochen Tuchbreiter are the founders of domainfactory.

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